Financial News: UK Retail Sales Decline Unexpectedly

UK Retail Sales Decline Unexpectedly

08/21/2026 - 02:26:00 (RTTNews)

(RTTNews) - UK retail sales dropped unexpectedly in July on weaker non-food store sales, data from the Office for National Statistics revealed Friday.

Retail sales decreased 0.5 percent month-on-month in July, reversing a revised 0.7 percent rise in June. Sales were forecast to drop 0.4 percent.

Excluding auto fuel, retail sales declined 0.9 percent, offsetting last month's 0.9 percent increase. Economists had forecast sales to fall 0.5 percent.

Food store sales growth improved to 0.5 percent, while non-food store sales declined 1.3 percent from June. At the same, auto fuel sales advanced 3.8 percent.

The ONS said non-food stores and non-store retailers fell back in July, which retailers attributed to demand being brought forward to June because of earlier than usual promotional activity.

On a yearly basis, retail sales increased at a slower pace of 1.6 percent after rising 3.8 percent in June. Likewise, sales excluding auto fuel grew 2.3 percent, weaker than the 5.0 percent rise in the prior month.

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