Consumers spent much less in retailers as moist climate dampened demand for typical seasonal items in July, newest figures present.

Total UK retail gross sales elevated 1.5%, in response to the retail gross sales monitor from retail consultant British Retail Consortium (BRC) and large 4 accountancy agency KPMG.

But on the similar time official figures confirmed the rate of price rises stood at 7.9% within the 12 months as much as July and when inflation is factored in there was a drop in volumes, the monitor confirmed.

Food and drink, and homewares have been excessive avenue greatest sellers within the month, whereas the rain meant looking for summer season garments was down.

All classes of clothes confirmed contraction within the often busy month for style retailers.

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Food gross sales rose 8.4% - above the 12-month common progress of seven.8% - as food inflation dropped slightly from its high of 19.2% in March. It meant costs have been nonetheless rising simply at a slower tempo than earlier than.

A discount was additionally seen in non-food gross sales which fell 0.5% over the three months to July, beneath the 12-month whole common progress of 0.6%.

Online gross sales continued to fall from the highs reached within the pandemic. They dropped practically 7% from July 2022, with just a few classes resembling furnishings, well being and sweetness performing effectively.

The wettest March in 40 years was behind the only month of no growth in retail gross sales in 2023, in response to the Office of National Statistics.

At the identical time one other indicator of shopper spending confirmed a rise in card purchases.

Sales of Taylor Swift and Foo Fighters tickets helped card spending rise 4% in comparison with final month and the July earlier than, in response to Barclay's shopper card spending figures.

It got here regardless of customers coping with the increased cost of borrowing and inflation.

Live leisure, vacation bookings and summer season socialising made customers spend however cautious discretionary spending meant the general progress determine declined from June's 5.4%, Barclays stated.

"We are starting to see a big rise in the number of promotions that retailers are putting in place in order to get shoppers through the door, as they battle to keep market share," stated Paul Martin, the UK head of retail at KPMG.

"Price-conscious consumers are shopping more carefully, more aware of where bargains can be found and what they are getting for their money - which is biting hard into retail margins and profitability."