UK Retail Sales Rose 0.4% in March, Driven by Sunny Weather

Retail sales in Great Britain rose by 0.4% in March, boosted by unusually sunny weather for that time of year, the Office for National Statistics said Friday (April 25).

This marked the third consecutive month of rising sales in the country, according to a Friday press release. Together, this added up to the biggest three-month rise in retail sales the U.K. has seen since July 2021.

“Clothing and outdoor retailers reported that good weather boosted sales,” the release said.

Those retailers contributed to a 1.7% increase in sales volumes at non-food stores, a category that includes department, clothing, household and other non-food stores. This category saw its highest level of monthly sales since March 2022.

Non-store retailers — a category that is mostly made up of online retailers but also includes stalls and markets — also saw an increase in sales in March. These retailers also attributed their gains to the weather, with sales of clothing and do-it-yourself (DIY) goods benefiting from the sunshine.

Food stores’ sales volumes, on the other hand, declined by 1.3% in March. Supermarkets experienced the biggest losses during the month.

When food stores reported a decline in sales in February, the Office for National Statistics said in a press release that these retailers cited “economic factors such as increasing prices.”

The portion of U.K. shoppers adopting Click-and-Mortar habits — an integration of online features and in-store shopping — has risen by 29% since 2020, according to the PYMNTS Intelligence report, “2024 Global Digital Shopping Index: U.K. Edition.”

Accounting and consulting firm RSM UK said in a Friday press release that retail sales in Great Britain might face headwinds going forward.

While an increase in the National Minimum Wage in April and a surge in mortgage completions could boost sales, rising employment costs and uncertainty around tariffs could offset those gains, Jacqui Baker, head of retail at RSM UK and chair of ICAEW’s Retail Group, said in the release.

“This additional layer of uncertainty will impact purchasing decisions, future supply chains and place further pressure on already squeezed margins,” Baker said. “It’s clear retailers need support — whether that be the return of tax-free shopping or a permanently lower level of business rates — but until then, it’s crucial they monitor the tariff situation closely and future proof their supply chains during the 90-day pause.”

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