The second quarter of 2021 showed that Retail sales have phenomenally increased in the UK. The underlying reasons would be the raising of the Covid measures, the hosting of Euro 2020 finals as well as the increase of pent-up demand.
Interestingly, the second quarter of 2021 showed that sales have risen by 10.4% compared to 2019. Records indicated that the rate at which the sales have grown has been the fastest since 1995, according to the British Retail Consortium and KPMG.
What is worth noting is that as Covid-19 cases have spread across the country, the staggering 13% increase in retail sales in June, compared to the same month before the outbreak, has allayed fears of a loss of economic momentum.
Lockdown after lockdown led to a consumer demand build-up, hence why sales have shown exceptional growth, as per Helen Dickinson, chief executive of the British Retail Consortium.
Although the numbers seem promising, demand will depend on whether the British feel safe to shop and commute once the pandemic restrictions are lifted.
Meanwhile, consumer goods spending has also increased by 11% with more and more consumers visiting the bars and pubs. The food and drinks sector has also seen a strong increase of sales, according to Barclaycard.
Finally, the hospitality industry recorded their highest levels of bookings and sales compared to pre-pandemic sales records.
Source:
1. UK Retail sales jump in June buoyed by sport and good weather