UK retail sales growth slows to 1.3% ahead of Budget

Summarised from 3 outlets · Updated 13 Oct, 00:20 · Archive

British retail sales increased 1.3% year-on-year in September, down from 2.3% a year earlier.

British retail sales increased 1.3% year-on-year in September, down from 2.3% growth in September 2025 and below the 12-month average of 1.5%, according to the British Retail Consortium and KPMG. Shoppers became increasingly cautious ahead of the Autumn Budget and concerns about rising household bills and taxes.

Food sales drove the overall increase at 2.5%, though this remained well below September 2025's 4.3% rise and the 12-month average of 3.1%. Non-food sales were broadly flat, growing 0.3%. Health and beauty recorded its strongest month of the year as consumers prioritised small indulgences, with toys also performing well boosted by Pokemon's 30th anniversary products. Clothing and footwear had a weak month as unseasonably warm weather weakened demand for autumn and winter wardrobes, though back-to-school spending saw a boost.

The British Retail Consortium said high street firms are holding off cost rises but cannot withstand a Budget which brings in higher taxes. Chief executive Helen Dickinson said: 'Another rise in business rates would push up pressure on prices, choke off high-street investment and put local jobs at risk.' Linda Ellett, KPMG's UK head of consumer, retail and leisure, said consumers are becoming 'increasingly selective' as the competition for spending intensifies.

UK retail sales growth slows to 1.3% ahead of Budget — Image: Evening Standard

Comments (0)

How it is being reported

Retail sales ‘sluggish’ as shoppers feel cautious ahead of BudgetBritish retail sales showed “sluggish” growth last month as shoppers became increasingly cautious ahead of the Autumn Budget. Total sales at retailers increased by 1.3 per cent in the 12 months to September, compared to 2.3 per cent growth in September 2025, according to the British Retail Consortium (BRC) and Big Four giant KPMG. The [...]City AM · 13 Oct, 00:01
Retail sales sluggish as consumers exercise spending caution ahead of BudgetTotal UK retail sales increased by 1.3% year-on-year last month, a fall from growth of 2.3% last September, according to the BRC and KPMG.Evening Standard · 13 Oct, 00:01
Retail sales sluggish as consumers exercise spending caution ahead of BudgetTotal UK retail sales increased by 1.3% year-on-year last month, a fall from growth of 2.3% last September, according to the BRC and KPMG.Independent Business · 13 Oct, 00:01

In this story: British Retail Consortium · KPMG · Tesco · Sainsbury's · Marks & Spencer · United Kingdom

This summary was written by AI from the headlines and standfirsts above, and states as fact only what at least two outlets report. How we use AI · Report a problem