UK Retail Sales Resilience Amid June Heatwave’s Footfall Challenges

New data from the British Retail Consortium (BRC) and KPMG reveals that UK retail sales grew by 1.9% year-on-year in June, aligning with the average for the previous 12 months. However, this performance lagged behind the 3.1% increase observed in the same period last year, reflecting a cooling trend in consumer activity.

Non-food sales, particularly in clothing categories, rose 1.2% during the five weeks to 4 July 2026, outperforming the annual average growth rate of 0.6%. This suggests a rebound in customer interest for fashion and apparel despite the challenging weather.

Physical store sales for non-food items declined by 1.1% compared to June 2025, highlighting the ongoing pressure on high street foot traffic. BRC-Sensormatic data further indicates that in-store visits fell 6.2% in June—a sharp contraction from May’s 1.5% drop. Shopping centers saw a 2.5% decrease in footfall during the month.

Online non-food retail experienced a notable surge, with sales rising 5.1% year-on-year. This growth significantly outpaces the 1.5% average over the past year. The proportion of non-food purchases made online reached 39.0% in June, up from 37.7% in June 2025 and above the 12-month average of 37.9%.

BRC Chief Executive Helen Dickinson commented on the trends: “Retail sales maintained momentum despite June’s heatwave. While in-store sales were stifled by soaring temperatures, the proportion of sales online was the highest of 2026, bolstered by well-timed promotions. A heatwave doesn’t just change how customers shop—it makes retail operations more challenging, from keeping shelves stocked to cooling products and staff. These pressures come amid rising business rates, higher employment taxes, and global uncertainty, all squeezing retailers’ capacity to invest, create jobs, and stabilize prices. With a new government on the horizon, a cohesive policy framework will be critical to unlocking retail’s full potential.”

Linda Ellett, KPMG UK Consumer, Retail & Leisure Head, noted that record temperatures from May into June contributed to the sales trends. “As the summer holiday season approaches, retailers may capitalize on the increase in clothing demand for adults and children observed in June,” she added.

This report originally appeared on Just Style, a GlobalData-owned brand.

Source link