Commenting on today’s ONS Retail Sales figures, Euan Murray, relationship director and retail sector expert at Barclays Corporate Banking, Scotland said:
“Inflation is front and centre in the minds of retailers and consumers in Scotland as it hit a new 30 year high, with the pressure of increased costs driving up prices and sales values artificially higher than expected across February.
“With this in mind, it is the volume of sales that is now seen as the most reliable barometer of spending within the industry and this metric looked favourable for retail last month, with relatively unchanged sales volumes month-on-month (-0.3%) and clear increases both year-on-year (+7%) and versus pre-pandemic levels (+3.7%), suggesting inflationary pressures failed to impact consumer spending appetite. How this changes in March, with all that has happened over the last few weeks, could be challenging.
“The milder temperature has led to a notable increase in spending on clothing as people kitted out their new wardrobes. It also led to a reduction in the proportion of sales being made online versus last year, and suggests the industry has now come to the other side of its pandemic-driven ‘bounce’ in online spend.”
Barclays Bank
Barclays Bank PLC is a high street bank with branches throughout the UK. They offer many services including personal banking, loans and advice when purchasing a home or a car.
