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UK retail sales underperform expectations with 0.9% rise in June

ALN

UK retail sales improved in June following record-setting warm weather but fell short of expectations, the Office for National Statistics reported on Friday.

Total retail sales volumes rose 0.9% in June, compared to a fall of 2.8% in May, the latter downwardly revised from a decline of 2.7%. Sales fell short of an FXStreet-cited consensus for a 1.2% rise, however.

Sales volumes were 1.7% higher over the year to the end of June, and were up 0.2% on-quarter for the three months to the end of June.

Food stores sales increased 0.7% in June after a 5.4% fall in May. This was driven by improved supermarkets sales volumes as warm weather drove higher drinks sales.

The ONS noted that England had its warmest June on record this year, according to the Met Office climate summaries, and the second warmest for the UK as a whole.

Non-food stores sales rose 0.2% from the month before, as promotions and good weather drove up sales for department stores and clothing retailers, but this was offset by lower footfall at household goods stores and other non-food retailers such as auction houses.

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