Three months of growth in Scottish retail sales fizzled out in June

Three months of growth in Scottish retail sales fizzled out in June

A three-month period of growth for Scottish retail came to an end in June, with total sales decreasing by 0.4% compared to June 2024 – when they had decreased by 3.4%.

This was below the 3-month average increase of 1.2% and below the 12-month average increase of 0.1%. Adjusted for inflation, there was a year-on-year decrease of 0.8%.

Total Food sales in Scotland decreased by 2.3% compared with June 2024, when they had decreased by 1.7%. This was below the 3-month average decrease of 0.4% and below the 12-month average decrease of 0.1%. 



Scottish Sales increased by 0.3% on a like-for-like basis compared with June 2024, when they had decreased by 2.9%. This was below the 3-month average increase of 2.2% and below the 12-month average increase of 0.7%.

Total Non-Food sales in Scotland increased by 1.1% compared with June 2024, when they had decreased by 4.8%. This was below the 3-month average increase of 2.6% and above the 12-month average increase of 0.2%.

Adjusted for the effect of online sales, Non-Food sales in Scotland increased by 2.1% compared with June 2024, when they had decreased by 5%. This was below the 3-month average increase of 3.5% and above the 12-month average increase of 0.8%.

David Lonsdale, director of the Scottish Retail Consortium, said: “Retail sales contracted by 0.4% during the month when compared with the same trading period the year before.

“This was perhaps less than surprising after the slump in shopper footfall in June, and with households continuing to prioritise experiences, such as holidays and concert-going rather than purchases of products.

“That said, sales of gaming consoles and electric fans performed well thanks to new releases and the better weather. Meanwhile, grocery sales fell back and sales of outdoor furniture and DIY equipment slowed after a strong May.”

Mr Lonsdale continued: “Households are having to contend with a multitude of pressures which is seeing them spend selectively. Council tax and water bills have soared, inflation is increasing, and shop prices have started to rise.

“All this is putting a dampener on disposable spending. Hopefully, this downturn in sales will prove temporary, as retailers themselves grapple with a hotchpotch of cost pressures of their own ranging from higher statutory costs for employing people to higher business rates and new levies on packaging.”

Linda Ellett, head of consumer, retail & leisure at KPMG UK, added: “Non-food purchases saw modest growth in Scotland in June as consumers took advantage of summer promotions to buy home appliances and homeware goods, while the weather aided clothing sales.

“But a fall in food and drink spending saw monthly Scottish retail sales slightly down overall.

“Retailers will be hoping that the summer buying is not yet complete and that the pace picks up further in July and August as suitcases get packed and the sun hopefully keeps shining.”

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