Fashion sales fall with ‘bad start to the festive season’

UK total retail sales decreased by 3.3% year on year in November, against growth of 2.6% for the same period last year. This was below the three-month average growth of -0.1% and the 12-month average growth of 0.5%.

Non-food sales decreased 2.1% year on year in the three-months to November, against a fall of 1.6% in November 2023, compared with the 12-month average decline of 2.2%.

In-store non-food sales fell 2.1% in the three months to November, while online non-food sales decreased by -10.1% year on year. The online penetration rate (the proportion of non-food items bought online) decreased to 40.6% year on year in November from 41.4% in November 2023, compared with the 12-month average of 36.4%.

Helen Dickinson, chief executive of the BRC, said: "While it was undoubtedly a bad start to the festive season, the poor spending figures were primarily down to the movement of Black Friday into the December figures this year. Even so, low consumer confidence and rising energy bills have clearly dented non-food spending. Spending on fashion was particularly weak as households delayed purchases of new winter clothing, while health spending was boosted by the season’s arrival of coughs and colds.

"Retailers will be hoping that seasonal spending is delayed not diminished and that customers get spending in the remaining weeks running up to Christmas. If not, retailers will be feeling the squeeze from both sides as reduced revenues are met with huge additional costs next year. The Budget, as well as the introduction of new packaging levies, will cost retailers over £7bn extra next year. How effectively the government works the industry to mitigate these costs will determine the extent of price rises and job losses in the future."