SRC: Flat February figures end seven months of growth for Scottish retailers
Scottish retail sales ground to a halt in February 2026, with total sales recording no growth, flat at 0.0% compared with a 0.4% decline in the same month last year, according to the latest SRC-KPMG Scottish Retail Sales Monitor.
The result fell below both the three-month average rise of 1.2% and the 12-month average of 1.0%, and when adjusted for inflation, represented a real-terms fall of 1.1%.
Food sales offered some encouragement, rising 1.2% year-on-year, ahead of last February’s 0.7% increase and above the 12-month average of 0.3%, though still shy of the three-month average of 1.4%.
Valentine’s Day provided a further bright spot, with perfumes, cosmetics, watches, and jewellery all performing well. Non-food sales, however, continued to struggle, falling 1.0% against February 2025’s already weak 1.3% decline, and dropping further to minus 1.5% when adjusted for the effect of online sales. Clothing, footwear, and furniture all disappointed.
The figures bring to an end a seven-month run of modest but positive growth.
David Lonsdale, director, Scottish Retail Consortium, said: “Scottish retail sales slowed to a halt in February. Worries that January’s sparkling showing was an outlier appear to have been confirmed with flat sales figures correlating with a fall in shopper footfall.
“Purchases associated with Valentine’s Day were a bright spot, buoyed by sales of perfumes, cosmetics, watches, and jewellery as Scots treated loved ones. Food sales also did well during the month. In contrast receipts from sales of clothing, footwear, and furniture underwhelmed.”
Mr Lonsdale continued: “This brings an end to a seven-month run of pedestrian but nonetheless positive growth. It reinforces our concern that the challenges for retail are far from being in the rear-view mirror. The costs crunch affecting households and firms remain real and could be exacerbated by prolonged conflict in the Middle East, which may make for a bumpy few months ahead.
“As such, it is imperative that the political parties seeking to form the next Scottish government think carefully about the real-world impacts of their proposals and avoid layering even more regulatory and cost burdens onto business. Without a dose of realism and restraint from policymakers, Scotland’s retailers will struggle to invest in stores, high streets, and in keeping down prices for shoppers.”
Linda Ellett, UK head of consumer, retail & leisure, KPMG, said: “After a strong January came a disappointing February, with no sales growth overall for Scottish retailers.
“While some channels, categories, and brands are showing there is still room to thrive, the combination of ongoing business costs and limited consumer spending is challenging others – with efficiency drives and technological transformation continuing at pace.”

