Retailers in the UK benefit from the of England continues its world Cup of the warm weather increasing the beer, barbecue and big screen TV sales, despite the serious underlying problems facing the high street.
Leads to deep problems remain for retailers, as they close hundreds of stores across the country, the British retail consortium (BRC) and KPMG said the world Cup fever sweeping the nation, along with the heat helped paper over the cracks Jun for the industry.
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The latest health check on the high street showed total retail sales rose 2.3% last month in the UK, above average growth in consumer spending and more than 2% in the same month a year ago. Food sales were particularly strong, largely due to the exceptional sales of drinks in the last week due to the hot weather and the England, after advancing through the group stage of the tournament in Russia.
Coming after one of the best months in recent years, in may, when the stores profited from mercury rising early summer heat and celebrations across the country for the Royal wedding, in June, will provide some cheer for hard-sellers. Observers said that sales were solid, though not sensational.
Retailers including house of Fraser, network, Marks & Spencer and Mothercare are not in the process of closing stores and cutting jobs to stay afloat amid weak levels of consumer spending across the UK after the referendum the EU two years ago.
Incomes are rising slightly faster than inflation after the vote, leaving the UK has led to an increase in the cost of imports. Helen Dickinson, Director General of the BRC, said: “the reality is that sales do not grow on some Feelgood factor. After the euphoria of sporting success falls down, no deal to withdraw Britain from the EU, buyers are faced with the prospect of significant price increases and shortages of everyday goods”.
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Survey BRS/KPMG showed the continued shift to online shopping is to a greater extent in the decline of high street sales growth of 8.5% last month. Although this growth was below the average three months for the UK, growth still outpaces overall sales growth.
Despite the improvement in indicators of food and beverages, sale of furniture, shoes, household appliances and fixed all refused.
As sales in all categories, which cut spending at stores open at least a year, increased in June by 1.1% compared with 1.2% in the same month a year ago.