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Retailers enjoyed a few “green shoots” of consumer confidence in March, while garden products and Mother’s Day gifts flew out of the shelves, according to new figures.
Total UK retail sales increased an annual basis of 1.1%, despite the later arrival of Easter this year, according to the British Retail Consortium (BRC) CPMG retail sales monitor.
Nevertheless, food sales increased by 1.6% on March, while sales of non-food rose by 0.6%.
The improving weather made for a strong final week, with gardening and DIY equipment flying “from the shelves”, the BRC said.
The sales of jewelry and beauty products were helped by Mother’s Day, although consumers were more careful to buy larger ticket items such as furniture.
BRC CEO Helen Dickinson said: “Despite a challenging global geopolitical landscape, the small increase in food and non-food sales has masked signs of underlying strengthening demand, given March 2025’s comparison with last year’s early Easter.”
Linda Ellett, British head of consumers, retail and recreation at KPMG, said: “When the spring weather came, home and garden-related purchases and gifts for Mother’s Day in March had growing retail sales.
‘In the midst of consumer confidence in the economic outlook of the UK, and many households facing rising costs, the growth of retail sales feels an achievement.
“But with non-food sales climbing on average only 1%, it means there are some retailers struggling, while others win, especially online.”
Separate figures from Barclays show that consumption card spending grew by 0.5% year on year in March, lower than 1% of February.
The sunny weather increased non-essential categories such as garden centers and specialist stores for food and drinks, although consumers cut the essential spending by 2.9% as they expected rising household bills.
A survey for the bank’s consumer spending report found that two out of three adults in the UK (67%) were concerned about the impact on their household finances of recent stock market volatility due to trading tariffs, while 71% were planning to buy more ‘manufactured in Britain’.
Two out of every five consumers (40%) say they are looking for alternatives manufactured in the UK for products that they are currently buying that are produced abroad.
Meanwhile, spending on garden centers rose 13.4% – the largest increase in Spike Barclays began detecting the category in January 2024.
British chief economist Jack Meaning at Barclays, said: “After a stronger-than-expected GDP growth in February, today’s data highlights the risks of consumer spending in the coming months.
“The effects of increased uncertainty and rising accounts are already felt. We expect the expenses to remain subdued until mid -2025 before we take up in 2026 as interest rates begin to feel relief and uncertainty begin to normalize.”
– Opinium interrogated 2,000 British adults between 25 and 28 March and 8 and 11 April.
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