💎 Fed’s first rate cut since 2020 set to trigger market. Find undervalued gems with Fair ValueSee Undervalued Stocks

UK retail sales fell in November as lockdown hit stores

Published 12/18/2020, 02:13 AM
Updated 12/18/2020, 02:50 AM
© Reuters. FILE PHOTO:  Outbreak of the coronavirus disease (COVID-19) in London

By David Milliken and Andy Bruce

LONDON (Reuters) - British retail sales fell sharply last month when a four-week lockdown in England closed stores which sold non-essential goods to the public, official figures showed on Friday.

Retail sales volumes dropped by 3.8% on the month in November, their biggest decline since the first lockdown in April and broadly in line with the forecast in a Reuters poll of economists, after a 1.3% increase in October.

Annual sales growth halved to 2.4% from 5.8%, the Office for National Statistics said.

Retail has been one of the few bright spots in Britain's economy since the COVID pandemic, which the Bank of England estimates has caused Britain's economy to shrink 11% over the course of 2020, the biggest slump since 1709.

Consumer confidence data for December, released earlier on Friday, showed the biggest jump in eight years as households welcomed news of the rollout of coronavirus vaccines.

However the picture has been extremely mixed across the retail sector, with online retailers booming and supermarkets enjoying solid results, but many clothing retailers struggling from the closure of their high-street premises.

Inflation data on Wednesday showed the biggest annual fall in clothing and footwear prices in a decade, due in part to unusually large Black Friday discounts.

© Reuters. FILE PHOTO:  Outbreak of the coronavirus disease (COVID-19) in London

The BoE estimates Britain's economy as a whole will shrink by just over 1% in the final quarter of 2020, slightly less than it feared a month ago, but expects slower growth in early 2021 due to longer-lasting lockdown restrictions.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.