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Clothing sales underpins falling retail sales in February

Tom Shearsmith
25 March 2022

Consumers returned to shopping for clothes again in February as parties restarted and offices reopened following the easing of Omicron restrictions.

Data from the Office for National Statistics (ONS) shows that clothing sales jumped more than 13% during the month, bucking the overall trend across British retailers. Overall retail sector sales dropped by 0.3% in February, down from a rise of 1.9% in January.

Heather Bovill, ONS Deputy Director for Surveys and Economic Indicators, commented: “After a buoyant January, retail sales fell back a little last month. There was a notable decline for companies that predominantly trade online, following a strong performance over the festive and New Year period.

“More socialising as well as many of us returning to the workplace meant a good month for clothing and department stores, with people looking to expand their wardrobes.

“Household goods and many other stores reported a decrease with feedback suggesting February’s stormy weather could have had an impact, while increased travel following the lifting of England’s Plan B restrictions at the end of January drove fuel sales above their pre-pandemic level for the first time.”

Commenting on today’s ONS retail sales figures, Oliver Vernon-Harcourt, Head of Retail at Deloitte, said: “February’s subdued retail sales reflect declining consumer confidence as price increases continue to erode consumer spending power. Rising inflation is coming at a time when retailers are still contending with supply chain disruptions and other cost pressures. The result is uncertainty for both consumers and retailers, who may be reconsidering how they will allocate their spend for the rest of the year.

“Consumer sentiment is likely to be challenged in the coming months as the cost of living rises. However, some consumers may be better positioned than others, in some cases through accumulated savings over the course of the pandemic. With price rises predominantly impacting essential categories, it is the low- and middle-income households that will be hit the hardest. Retailers will need to meet consumers’ expectations through providing the right product ranges and availability.”

Dave Bruno, Director of Retail Market Insights at Aptos, added: “As we look ahead, retailers should prepare for the months ahead by focusing on the one thing they can control: the customer experience. Retailers who empower shoppers with convenience, flexibility, transparency and timely communications throughout every journey will earn the confidence of their customers and thereby encourage more purchases, more often.”

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