BRC responds to ONS Retail Sales Index

Responding to the latest ONS Retail Sales Index figures, Harvir Dhillon, Economist at the British Retail Consortium, said: 

“We are starting to see signs that concerns over the Middle East conflict and its impact on living costs are leading shoppers to rein in their spending in many areas. Last month, fashion sales, particularly for large retailers, performed poorly, partly owing to the poor weather. Consumers also conserved their fuel consumption following the spike in petrol and diesel prices. Other categories, such as health & beauty, had a strong month due to sustained high demand.
 
“Discretionary spend is likely to drop further as the cost of living squeeze worsens. To protect consumers and support economic growth in the months ahead, Government should avoid further inflationary pressures through domestic policy costs. It can start by cutting non-commodity energy charges, which include the taxes and levies that account for two thirds of retailers’ energy bills, and addressing the triple packaging tax that affects all retailers and their supply chains.”