UK Inflation: British monthly retail sales fall as prices rise

• Retail sales in the UK decreased by 0.5% between April and May, reversing the previous month’s increase.
• Consumers spent 0.6% more on clothes.
• Retail sales have decreased since their peak in the spring of last year.

UK Inflation: As a result of consumers tightening their belts in response to the rising cost of living, retail sales in the UK decreased in May, fueling fears of a recession in the UK.

The number of products purchased in the United Kingdom decreased by 0.5% between April and May, reversing the previous month’s increase, according to figures released by the Office of National Statistics on Friday.

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This was only slightly better than the 0.7% decline predicted by economists surveyed by Reuters.

Nonetheless, consumers spent 0.6% more than in the previous month, although spending less overall, revealing the impact of soaring inflation on household finances.

Food sales declined 1.6 percent. The increase in clothes sales, which Bovill attributed to shoppers purchasing for summer vacations, was countered by a 2.3% decline in sales of domestic products. Department store sales also decreased significantly.

As opposed to purchasing groceries, people have reverted to spending on bars and restaurants, which are not included in the numbers. As a result, the amount of retail sales has decreased since its peak in the spring of last year.

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Separate data from the research firm GfK, also released on Friday, indicated that consumer confidence in the United Kingdom plummeted to its lowest level since records began in 1974 in June.

Both sets of statistics enhance the likelihood of a second-quarter economic downturn.