The British Retail Consortium reported that growth in UK retail sales improved in March due to a prematurely occurring Easter, which spurred both food and non-food sales.
In March, total retail sales progressed by 3.5 percent on an annual basis, a significant improvement from the 1.1 percent rise observed in February. This contrasts with the increase of 5.1 percent for the same period the prior year.
For the first time in over two years, the growth in retail sales surpassed headline inflation. In the three months leading up to March, food sales bumped up by 6.8 percent, while non-food sales declined by 1.9 percent.
Helen Dickinson, BRC's Chief Executive, noted that the growth in sales was mainly due to the earlier timing of Easter and the consequent boost in food sales in the week leading to the long weekend. "Easter also spurred sales of non-food items such as cookware and tableware, as people prepared to host relatives and friends," Dickinson further explained.
As the sector faces substantial cost increases in April - specifically through the rise in minimum wage rates and the hike in business rates for larger high street brands - Linda Ellett, UK Head of Consumer Markets, Leisure & Retail at KPMG, stated, "Retailers will be hoping that March's rebound in sales is more than just a momentary Easter peak."
