Data: September retail sales grind to a halt as fuel and driver shortages bite

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Retail sales growth in September slowed as fuel shortages, supply chain issues and poor weather conditions impacted consumer confidence.

Retail spend increased by 0.6% in September, a decline in the rate of growth of 5.6% recorded for the same month in 2020, according to the latest BRC-KPMG Retail Sales Monitor.

It was also well below the three-month average growth of 3.1% and the 12-month average growth of 9.8%.

UK retail sales decreased 0.6% on a like-for-like basis from September 2020, when they had increased 6.1%. This too fell below the three-month average growth of 1.7% and the 12-month average growth of 10.2%.

Sales of non-food items rose by 3.8% in September on a total basis, far below the 12 month average of 14%.

Food sales increased by 2.3% on a total basis in the same period, a decline compared to the 12-month total average growth of 4.9%.

As stores remained open, online sales took a hit in September, though they remained higher than pre-pandemic levels. Online non-food sales decreasing by 7.3% across the month against a growth of 36.7% in the same month last year.

Penetration of online sales for non-food items dipped to 40.1% compared to 44.9% in September 2020.

BRC chief executive Helen Dickinson said: “September saw the slowest retail sales growth since January when the UK was in lockdown. There are signs that consumer confidence is being hit as the fuel shortages, combined with wetter weather, had an impact in the second half of the month. This had a bigger effect on large purchases such as furniture and homeware. In-store purchases regained ground, and sales growth continued to strengthen for footwear and fashion, particularly formalwear with many workers returning to the office this autumn.”