Source: Sharecast
According to the latest BRC-KPMG retail sales monitor, total sales rose 1.3% year-on-year following 2.5% growth in July 2025. This was below the 12-month average of 1.8% growth.
Food sales were up 3.8% last month following 3.9% growth in the same month last year, while non-food sales fell 0.7%, having risen 1.4% in July 2025.
In-store non-food sales declined by 1.9% following a 1.9% increase in July last year, while online non-food sales rose 1.3%, an improvement on July 2025’s increase of 0.3%.
Helen Dickinson, chief executive at the British Retail Consortium, said: "July saw modest sales growth, with food sales boosted by the final week of the World Cup. Non-food sales were hit by the decline in footfall as shoppers avoided the heat. Clothing was a bright spot, driven by demand for affordable summer essentials, while footwear struggled to keep up. Shoppers also prioritised smaller indulgences such as beauty products and fashion jewellery, while delaying bigger-ticket purchases including furniture and computing.
"Consumer demand has struggled in the heat, leaving retailers facing a challenging start to the second half of the year. Household budgets remain stretched, consumer confidence is fragile, and retailers continue to grapple with rising operating costs. If the Government wants to drive growth and keep inflation under control, it must reduce the cost of doing business by tackling the taxes and regulatory burdens that are holding back investment and putting upward pressure on prices. These include business rates, new packaging taxes, and the rising costs of employment."