July 2005 Retail Sales

 

Retail Sales for July 2006 were up 3.4% on a like for like basis for July 05 when sales dropped 1.9% after the London bombings.  The 3 month trend for growth dropped from 4.1% to 3.1% for like for like sales and from 6.8% to 5.6% for total sales.

 

The volume of retail sales from May to July was 1.8% higher than the previous 3 months but the total sales volume shows a decrease of 0.3% between June & July.  This is the first monthly fall since January and follows growth of 0.7% in June and 0.7% in August.

 

      

 

The hot weather had an impact on footfall as people were reluctant to shop in the heat wave however it did boost the sales in the food, drink and outdoor living goods.

 

With consumer confidence still weak shoppers remain reluctant to commit to larger purchases.  The average weekly value of sales in July was £4.8 billion, 3.4% higher than in July 05.

 

Helen Dickinson, Head of Retail, KPMG commented “The growth in total and like-for-like sales in July continues the trend we have seen in the last couple of months with discounting activity negating lower shopper numbers and driving positive gains in the comparisons to 2005. We should not forget however that July 2005 was a quiet month following the London bombings so a positive like-for-like would have been expected. They say last month was the hottest July on record and, for once, the warm weather coincided with the timing of seasonal promotions, thus ensuring that the clothing sector showed some positive gains. Once again however it was our desire for food and drink that was the driving force behind the overall results.”