FX.co ★ UK Retail Sales Growth Exceeds Expectations in June

In June 2025, UK retail sales experienced a significant year-on-year increase, rising by 2.7% on a like-for-like basis. This marks a notable surge from the modest 0.6% growth observed in May and far exceeds the market's anticipated rise of just 0.2%. The increase in sales was driven by warmer weather and popular seasonal sporting events like Wimbledon, which attracted more visitors to high street shops and bolstered demand for products such as fans and sportswear. Food sales saw a substantial rise of 4.1%, primarily due to ongoing price inflation, while non-food sales grew by 2.2%, as consumers took advantage of summer discounts. Helen Dickinson, Chief Executive of the British Retail Consortium, commented on the robust performance, stating, “Retail sales heated up in June, with both food and non-food categories performing well.” Furthermore, Linda Ellett, UK Head of Consumer, Retail, and Leisure at KPMG, emphasized the role of home appliances and homeware purchases in driving growth, as new homeowners and those updating their living spaces capitalized on seasonal promotions both online and in physical stores.