News: Latest News
Latest NewsCompaniesMarketsEconomy & ForexCommoditiesInterest RatesBusiness LeadersFinance Pro.CalendarSectors 
All NewsEconomyCurrencies & ForexCryptocurrenciesCybersecurityPress Releases

UK retailers report falling sales, more weakness ahead - CBI

06/23/2022 | 06:06am EDT
FILE PHOTO: Shoppers walk along Oxford Street, amid the coronavirus disease (COVID-19) outbreak in London

LONDON (Reuters) - British retailers reported a year-on-year fall in sales in June and expect sales next month to be well below normal for the time of year as the surging cost of living erodes shoppers' disposable income, a survey showed on Thursday.

The Confederation of British Industry said the balance of retailers reporting sales below normal, rather than above normal, fell to -19 in June from zero in May, and was expected to decline further to -25 in July.

The CBI's headline sales balance for June, which compares sales volumes with a year earlier, dropped to -5 from -1 in May.

"Retail volumes are struggling as high inflation eats away at consumers' budgets. The squeeze on household incomes appears to have offset any boost to activity from the extended Platinum Jubilee bank holiday earlier this month," CBI economist Ben Jones said.

Lower demand from shoppers is also causing retailers to cut orders with suppliers.

"Wholesalers (are) seeing a 14-month period of robust sales growth come to a grinding halt this month," Jones said.

Official figures on Wednesday showed consumer price inflation rose to 9.1% in May, its highest in more than 40 years, and the Bank of England forecasts it will exceed 11% in October when household energy tariffs are due to rise by 40%.

The CBI survey took place from May 27 to June 14, and was based on replies from 100 companies, including 39 retail chains.

(Reporting by David Milliken; Editing by William Schomberg)


© Reuters 2022
Latest news "Economy & Forex"
10:38aU.S. FDA to reconvene experts' meeting for Amylyx ALS drug
RE
10:31aU.S. Factory Orders Rose at Faster Pace in May
DJ
10:29aWall Street pushes up Exxon forecasts as refining margins soar
RE
10:25aCharges expected Tuesday in Highland Park shooting - mayor
RE
10:21aIMF mission to visit Ghana to begin talks on programme
RE
10:19aU.S factory orders rise more than expected in May
RE
10:15aCanadian wheat plantings hit 9-year high as food prices spike
RE
10:13aPakistan arrest militant suspect in deadly bombing of Chinese nationals
RE
10:08aChicago suburb in 'unbelievable shock' after six killed during parade shooting
RE
09:57aC$ falls more than 1% as risk-off sentiment sweeps markets
RE
Latest news "Economy & Forex"