British Retail Consortium: Food sales growth slows

Tuesday, 09 September 2008
There was a slowing growth in food and drink sales in August, as the overall retail sector took a knock during poor weather, the British Retail Consortium (BRC) has said.

Stephen Robertson
Yet the food drink sector was the only sector to see higher sales than a year ago, the organisation revealed, even if this rise in August was the lowest since March this year.

These figures follow the BRC-Nielsen Shop Price Index, which last week revealed that annual shop price inflation in August stood at 10%.

Shoppers have begun to think more about budgets and the dismal weather led to less salads and barbeque products being purchased, but mine and stewing items became more commonplace in people's trolleys.

Like-for-like sales values dipped by -1% on August 2007, while in total they were up by 1.4%, the BRC said.

"Miserable weather washed out hopes of a summer boost for retailers, already suffering the slowdown. Annual like-for-like sales fell in five of the last six months, the first time this has happened since 2005," remarked director general at the BRC Stephen Robertson.

He added that the government has to think about the present situation and cut regulatory costs and business rate supplements.
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