British retailers’ hopes for a bright summer appear to have been dashed as consumers decided to rein in spending.
Retailers instead report the worst summer for six years, a time with the Great Recession was hitting hard.
There were downturns in both June and July and appear to have affected most sectors, including fashion, lifestyle items and household goods, according to the BDO High Street Sales Tracker.
Sophie Michael from BDO said the last summer there had been significant growth in retail sales. Moreover, this year shops have not been discounting heavily which means that fewer people have been tempted into shops.
Another factor which could be influencing people is speculation about potential interest rate increases which will impact on mortgage payments.
The report surveyed some 85 medium-sized retailers with around 10,000 outlets. Official ONS retail sales figures for July will be published on August 20.
