Retail sales fall as UK hospitality reopening hits food spending – business live
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- Retail sales fell unexpectedly in Great Britain in May
- Food store sales volumes dropped 5.7% last month
- ONS: feedback suggests reopening of hospitality saw consumers eating out instead.
Here’s some snap reaction to the dip in retail sales last month, from economist Julian Jessop:
Collectors item! some weaker than expected UK data: #retail sales *fell* 1.4% m/m in May.
1. distorted by fall in shop sales of food and drink as #hospitality reopened
UK retail sales in May (-1.4% MoM) largely a function of diverted spend back to hospitality & away from food retailers, also a levelling off of retail reopening in April. BUT total CHAPS-recorded spend on credit & debit cards has now plateaued since mid-April. One to watch. pic.twitter.com/SnxdZDyhbV
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Retail sales across Great Britain have fallen unexpectedly in May as the reopening of hospitality venues hit spending at food shops, and online.
…anecdotal evidence suggests the easing of hospitality restrictions had had an impact on sales as people returned to eating and drinking at locations such as restaurants and bars.
Feedback from retailers suggested that sales were negatively affected in May by both the reopening of all retail sectors and the relaxation of hospitality restrictions, with specialist retailers of alcoholic drinks and tobacco reporting a monthly decline of 8.4%.
…. anecdotal evidence from retailers suggested increased spending on outdoor garden furniture in preparation for the summer and the relaxation of social gathering rules.
Commenting on today’s figures, Director for Economic Statistics Darren Morgan said: (1/4) pic.twitter.com/qHTRbdMBGm
Darren Morgan continued: (2/4) pic.twitter.com/Mmnh8ZKg4d
Darren Morgan added: (3/4) pic.twitter.com/IhgJClQ91i
Darren Morgan concluded: (4/4) pic.twitter.com/PUkAmtrYXV
Source: Business – The Guardian