London, United Kingdom. British retail sales declined further in June and were far below seasonal norms, according to a survey published on Thursday that added to signs of a slowdown in Britain’s economy.
Retail sales weaken further
The Confederation of British Industry said its monthly retail sales balance, a measure of sales volumes over the past year, fell to -54 in June from -46 in May.
For the three months to June, the balance fell to -56 from -55, the lowest reading since records began in 1983.
Broader signs of slowdown
The CBI survey followed an unexpectedly weak reading from the closely watched S&P Global business surveys, which do not cover retail but are widely seen as an early indicator of economic growth.
A separate CBI survey published on Tuesday showed British manufacturing orders deteriorated this month at the fastest rate since September 2020.
CBI comments on pressures
“Retailers reported a gloomy start to the summer, with sales disappointing relative to seasonal norms to the greatest extent in over two years amid depressed consumer sentiment and rising cost pressures,” said CBI lead economist Martin Sartorius.
“A sharp fall in year-on-year retail sales was mirrored across the broader distribution sector, with wholesalers and motor traders seeing firm sales declines.”
Sartorius said businesses needed clarity and stability from Britain’s likely next prime minister Andy Burnham, as well as policies that reduced the cost of doing business.
