The latest official data on retail sales has been disappointing to say the least. Figures from the Office for National Statistics have indicated that sales by volume fell by 1.2 per cent in June compared with the same month last year, following a very promising 2.9 per cent increase in May.
June also saw a month-on-month drop of 0.1 per cent by value and 0.8 per cent by volume.
According to the ONS, retailers “suggested election uncertainty, poor weather and low footfall affected sales”.
Some might question just what impact the election might have had given that polling showed there was very little uncertainty about a Labour victory, figures in the retail sector were quick to blame the weather, not least as it was in contrast with a hot and sunny June last year.
The British Retail Consortium (BRC) certainly agreed on the point about the weather, noting that “categories sensitive to the weather, such as clothing, performed particularly poorly”.
However, is this all there is to it? Was store maintenance an issue too? A notable finding in the ONS figures was that every area of retail fell except automotive fuel, but the biggest drop was seen in department stores, whereas no-store retail saw the smallest drop.
That might at least open up the possibility that some stores could do more to make their interiors more attractive to shoppers, whether they have just walked through the door shaking the rain off their umbrellas or taking off their shades.
However, some may yet put faith in the notion that if rain and the election depressed sales in June, maybe sunshine and political certainty will bolster them over the rest of summer.
Expressing this hope, BRC director of Insight Kris Hamer said: “With the summer social season nearly in full swing, and a new Government offering a fresh approach to the economy, retailers are hopeful that consumer confidence will improve.”
Mr Hamer suggested changes to planning laws may aid this by creating “thriving town and city centres.” The question for stores may be whether their interior layouts look as attractive as many hope high streets soon will.
