July saw modest sales growth, with food sales boosted by the final week of the World Cup, says the latest data from the British Retail Consortium (BRC).
According to the latest BRC-KPMG Retail Sales Monitor, UK Total retail sales increased by 1.3% year on year in July, against a growth of 2.5% in July 2025. This was below the 12-month average growth of 1.8%.
Food sales increased by 3.8% year on year in July, against a growth of 3.9% in July 2025. This was above the 12-month average growth of 3.4%.
Non-Food sales decreased by 0.7% year on year in July, against a growth of 1.4% in July 2025. This was below the 12-month average growth of 0.4%.
In-Store Non-Food sales decreased by 1.9% year on year in July, against a growth of 1.9% in July 2025. This was below the 12-month average decline of 0.2%.
Online Non-Food sales increased by 1.3% year on year in July, against a growth of 0.3% in July 2025. This was below the 12-month average growth of 1.6%.
The online penetration rate (the proportion of Non-Food items bought online) increased to 35.9% in July from 35.4% in July 2025. This was below the 12-month average of 38.0%.
Helen Dickinson, Chief Executive at the British Retail Consortium, said: “Non-food sales were hit by the decline in footfall as shoppers avoided the heat. Clothing was a bright spot, driven by demand for affordable summer essentials, while footwear struggled to keep up. Shoppers also prioritised smaller indulgences such as beauty products and fashion jewellery, while delaying bigger-ticket purchases including furniture and computing.
“Consumer demand has struggled in the heat, leaving retailers facing a challenging start to the second half of the year. Household budgets remain stretched, consumer confidence is fragile, and retailers continue to grapple with rising operating costs. If the Government wants to drive growth and keep inflation under control, it must reduce the cost of doing business by tackling the taxes and regulatory burdens that are holding back investment and putting upward pressure on prices. These include business rates, new packaging taxes, and the rising costs of employment.”
