24 July 2026, 11:04 United Kingdom: Retail Sales Beat Expectations.
UK retail sales volumes increased 1.0% month-on-month in June 2026, defying expectations of a 0.3% fall, though easing from a 1.2% rise in May. Sales were unexpectedly boosted by hot weather and the World Cup, which temporarily offset persistent cost-of-living and inflation worries. Non-store retail sales went up on sales promotions and demand for sports merchandise, clothing, outdoor products, fans, and air conditioning. Clothing store sales rose 1.9%, the largest monthly increase since September 2025, also supported by promotional discounts and warm weather. Within other non-food stores, art galleries also performed well, while retailers broadly cited stronger demand for seasonal goods. In addition, online sales increased 2.8%. Yearly, retail sales climbed 4.2%, the strongest growth since January, surpassing forecasts of a 2.3% rise and following an upwardly revised 3.5% gain in May. Retail sales rose 0.6% in the second quarter compared with the previous quarter.
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