Deloitte comments on ONS retail sales

Commenting on today’s ONS retail sales figures, Oliver Vernon-Harcourt, head of retail at Deloitte, said:

“The retail sector has seen surprisingly strong growth since the start of the year, with April’s retail sales results representing the fourth consecutive month of higher than expected growth. The combination of the long Easter weekend, and a sustained period of good weather, has boosted shoppers’ sentiment and encouraged spending - especially in the DIY and home related categories.

“While consumer confidence remains somewhat fragile, rising wages and lower mortgage rates have improved household finances, but inflationary pressures persist. Previous economic challenges have also left shoppers more nervous, and emerging global economic uncertainties will be the litmus test to both the sector and consumers’ resilience.

“Looking ahead, with two May bank holidays and the lasting warm weather, retailers will hope the positive spending trend continues. Consumer spending will likely increase as socialising and enjoying the outdoors fuels spending on food and entertaining.”