UK retail sales struggled in April, fashion was worst category

Here we go again. It seems no kind of feel-good factor has yet worked its way into the minds of UK consumers with the latest BDO High Street Sales Tracker showing April retail sales in physical stores down for a fifth successive month.

And it came with a warning of more store closures.

Sophie Michael, Head of Retail and Wholesale at BDO, said: “The competition for the consumer purse has never been fiercer. With us recording a seventh consecutive month of negative or [up to] 1% growth for discretionary spend categories, retailers should be realistic in thinking this may not be a temporary trend.

“Those who want to succeed must acknowledge that the competition is not just with other retailers but with the hospitality, leisure and travel sectors, with many choosing ‘experiences’ over products. If sales continue to fall, it may mean we see more consolidation in the sector, more empty stores, and a real risk to a crucial part of the UK economy.”

So what actually happened last month?

Physical sales overall dropped by 1.7% year on year, and while online performance improved last month, online and in-store sales combined only managed an anaemic 0.4% uplift.

The news gets worse. Guess what the weakest category was? Yes, fashion. In-store sales dropped a worrying 8.3% for their eighth month of negative growth.

Homewares was negative too, but only down by 1.5% in-store, although their 8.2% online rise meant their combined total was a 1.8% uplift year on year.

Sophie Michael added: “This is yet another disappointing set of results for the retail sector. While an increase in online sales may offer a glimmer of hope, it’s clear that consumers are simply not spending their spare cash on the high street.

“The fashion sector will be particularly concerned by such a poor sales performance in the run up to summer. Unpredictable and unseasonably cold weather may have dampened the mood of shoppers who would usually be investing in their spring and summer wardrobe.”