UK Retail Sales Unexpectedly Robust in August

In the latest Retail Sales News, it has been announced that Retail sales were unexpectedly strong in August, suggesting that the UK consumer is in a lot better shape than first thought, which increases the likelihood of a near term Bank of England interest rate hike. Sales were up by an impressive 1 percent in the month of August according to the Office for National Statistics, well above the 0.2 percent penciled in by City of London analysts. The growth rate for July was also doubled by the ONS, raising from 0.3 percent to 0.6 percent.

Retail sales had slowed down in the first half of 2017 as inflation, stemming from the major slump in sterling in the wake of the Brexit vote. The pound jumped 0.61 percent in the immediate wake of the data to $1.3593, as traders increased bets on a Bank of England rate rise as early as November to curb inflation. Retail sales are considered an indicator of momentum in the wider economy as they account for around 30 percent of UK household consumption, which in turn accounts for around 60 percent of GDP. If you need any more information about our Retail Sales News or are interested in any of our roles, call us on 0161 828 8726 or email us at enquiries@mccarthyrecruitment.com