–BRC: UK Apr Like-For-Like Sales -3.3% y/y; Total -1.0% y/y
LONDON, (MNI) – April UK retail sales plunged on the year, hit by
exceptionally wet weather and base effects from surging sales in the
same month in 2011.
April like-for-like retail sales values were down 3.3% on the year,
and total sales were down 1%, both the sharpest falls since March 2011.
The timing of Easter has distorted the yearly sales comparisons, but the
figures show retailers’ strong performance in a sun-drenched March
being wiped out in a wet April.
On the BRC series, like-for-like retail sales values were up 1.3%
on the year in March and total sales were up 3.6%, with the sunshine
boosting seasonal clothing sales, but they then fell back sharply in
April.
“The wettest April since records began has put a dampener on
retailers’ fortunes. Consumer interest in summer fashions and outdoor
products was washed away by constant downpours,” Stephen Robertson,
Director General, British Retail Consortium, said.
The timing of Easter clouds the interpretation of these figures.
Easter came early this year, with Good Friday on April 6, while it
came late in 2011, with Good Friday on April 22 and very early in 2010,
with Good Friday on April 2. The April 2010 BRC Retail Sales Monitor
survey only started on April 4, so it excluded the impact of much of
that year’s Easter shopping and created favourable base effects for
April 2011 sales which in turn created negative base effects for this
April.
Like-for-like sales, based on comparable floor space, were up 5.2%
on the year in April 2011 and down 2.3% in April 2010.
This year’s “long Easter weekend was a peak time for many retailers
but its position earlier in the month shifted some Easter shopping into
March. In addition, April last year was boosted by the Royal Wedding and
the accompanying extra day-off for people to shop or celebrate,”
Robertson said.
“April sales were always going to struggle against the very strong
sales figures seen in April 2011, which benefited from the late Easter
and glorious weather,” Helen Dickinson, head of retail at KPMG, said.
While clothing and footwear sales were hit by the inclement weather
this April, food sales also dropped below year ago levels.
Any read across from the value-based BRC sales figures to the
official, seasonally adjusted data, which puts the spotlight on volumes,
is far from straightforward. Nevertheless, the evidence is mounting that
April was a poor month for retailers.
The official April sales data are due out May 23.
–London newsroom: +44 20 7862 7491; email: drobinson@marketnews.com
[TOPICS: MABDS$,M$BDS$]