Achi news desk-
It calculated that, comparing March and April with the same two months last year, the value of Scottish retail sales was down 0.2%.
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Non-food sales, which tend to reflect more discretionary elements of consumer spending, in April were down 4.9% compared to the same month last year. The year-on-year fall in food sales in April was 3%.
The 4% year-on-year fall in total retail value in Scotland in April matched the fall in the UK as a whole.
David Lonsdale, director of the Scottish Retail Consortium, said: “Scottish retail sales fell in April compared to the same trading period the previous year. Much of this can be attributed to the fact that Easter fell unusually early this year, to March, which brought shopper purchases forward which meant that visitor numbers and shopper spend in April were limited.”
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Elaborating on the performance of the sub-sector, Mr Lonsdale said: “The downturn was felt across the board with food retail, DIY, gardening, furniture and homeware all suffering. Fashion also fared poorly despite the availability of new seasonal ranges and wide discounts. The only bright spot was computing, which did well after a turbulent few years.”
He added: “Despite the Easter distortion, the figures underline the sense that any recovery in consumer demand and retail sales is fit and fragile at best.”
However, Mr Lonsdale highlighted “some grounds for cautious optimism”.
He said: “It is hoped that recent reductions in workers’ national insurance contributions and the freeze in council tax should support demand over the coming months, particularly with shop price inflation at its lowest level for two and a half years and average wages at really grow. terms. Hopefully this summer’s major sporting events, including the European football championships and the Olympics, will also welcome retail, more so if the Scottish football team and Team Great Britain have something to offer. celebrate.”
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Linda Ellett, UK head of consumer, retail and leisure at accountancy firm and survey sponsor KPMG, said: “The positive sales growth seen in March was short-lived due to the impact of an early Easter and continued wet and cold weather which saw a drop in sales retail in April. 4% year on year in Scotland, with both food and non-food sales recording a decrease compared to the previous year.
“On paper, it could be argued that consumers should feel more able to go out and spend again as economic conditions improve, but after two years of budgeting and cost cutting, cautious consumers are loosening the purse strings a lot slower than they tightened them, choosing to save or pay down debt. The positive sales figures seen in March due to the early Easter show how important triggers such as warmer weather, events and occasions can have the necessary impact to get consumers spending again.”
He added: “Retailers will still be hoping for an early summer interest rate cut, a strong performance by Scotland in the Euros, and an increase in temperatures. Together, this may be the driver to boost consumer willingness to spend in the coming weeks.”
