Daily Mirror (Northern Ireland)
Retail gets a royal reward But May’s sales rise hides high st strife
A DOUBLE dose of balmy weather and a royal wedding delivered a muchneeded boost for retail last month.
The amount of goods sold rose 1.3% in May and was 3.9% higher than a year ago, said the Office for National Statistics.
It added: “Feedback suggested a sustained period of good weather and royal wedding celebrations encouraged spending in household goods and food stores in May.”
The 1.3% rise – double what experts predicted – followed a 1.8% increase in April. It was the first time sales growth has topped 1% for two months since 2014.
However, the increases were driven by online sales, where spending surged nearly 20% year on year. Online accounted for 18% of all the money taken by retailers last month.
The ONS does not split out high street-only sales. However, a recent report from business group BDO found stores suffered their biggest fall in sales for any May in 12 years. Experts also warned the total retail rise may be a blip. Economist Samuel Tombs, of Pantheon Macroeconomics, said: “One swallow doesn’t make a summer.”
Rachel Lund of the British Retail Consortium said: “The economic environment remains tough for both consumers and retailers alike.”
The figures come after Poundworld plunged into administration with more than 5,000 jobs at risk, and House of Fraser announced plans to close 31 stores.
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