Britain’s retailers have suffered another blow after budget-conscious consumers reined in their Christmas spending, disappointing hopes of a bumper festive season and leaving the “golden quarter” with only muted growth.
Figures from the British Retail Consortium (BRC)-KPMG Retail Sales Monitor show that total sales rose by just 0.4 per cent over the three months to December, compared with the same period in 2023. Households wary of rising living costs appear to have kept a tight grip on their wallets in the final weeks of 2024.
Helen Dickinson, chief executive of the BRC, noted that the “crucial ‘golden quarter’ failed to give 2024 the send-off retailers were hoping for” after what has already been a challenging year of weak consumer confidence and economic strain.
Overall sales grew by 0.7 per cent in 2024, compared with 2023, but a 3.3 per cent uplift in food sales was dented by a 1.4 per cent drop in non-food categories. Clothing, footwear, computing, furniture, and toys were among those areas hit by more cautious spending.
Although December – combined with the impact of Black Friday at the end of November – yielded a 3.2 per cent year-on-year lift, the BRC suggested those figures were flattered by the late timing of last year’s Black Friday deals. AI-enabled gadgets and beauty advent calendars proved to be holiday bestsellers.
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