David McCorquodale, UK head of retail, comments on latest ONS retail sales figures.
Commenting on today’s ONS retail sales figures, David McCorquodale, UK head of retail at KPMG, said:
"The latest set of figures appear to paint a rosier outlook on retail sales in August, with volumes up 6.2% on the same period last year. However, values fell 0.2% compared to last month as deflation continued unabated.
“As the main contributor to the increase in sales volumes, food sales were the standout performer in August. The Rio Olympics were likely to have put picnics on the menu, while less favourable exchange rates encouraged staycations, also benefiting the grocers.
“August was a disappointing month for fashion retailers. Consumers failed to be inspired by the new collections and the heatwave encouraged shoppers to sunbathe rather than hit the high street. Changing customer behaviour and the lure of alternative attractions such as festivals and leisure experiences, coupled with increased costs, are causing concerns in the fashion segment.
“It’s yet to be seen if the August bank holiday and ‘back to school’ purchases will deliver a further boost for retail sales, as these will fall into next month’s figures. For the grocery sector, it will be interesting to see if momentum can be sustained amidst the ongoing price wars, which continue to benefit consumers at the till.”
For further information please contact:
Simon Wilson, KPMG Corporate Communications
Tel: 0207 311 6651
KPMG Press office
Tel: +44 (0) 207 694 8773
KPMG LLP, a UK limited liability partnership, operates from 22 offices across the UK with approximately 12,000 partners and staff. The UK firm recorded a revenue of £1.96 billion in the year ended September 2015. KPMG is a global network of professional firms providing Audit, Tax, and Advisory services. It operates in 155 countries and has 174,000 professionals working in member firms around the world. The independent member firms of the KPMG network are affiliated with KPMG International Cooperative ("KPMG International"), a Swiss entity. Each KPMG firm is a legally distinct and separate entity and describes itself as such.