UK retail sales jumped 3.7% year-on-year in May, the biggest annual rise since April 2025, as warm weather lifted demand across stores.
UK retail sales rebound after April decline
The British Retail Consortium said total sales rose 3.7% in May after a 3.0% fall in April. Like-for-like sales increased 3.4%, reversing a 3.4% drop the month before. Food sales climbed 3.9%, while non-food sales gained 3.5%.
Helen Dickinson, chief executive of the BRC, said May’s heatwave helped drive demand for summer clothing, footwear, outdoor equipment, fans and lighter bedding. She also said bank holiday barbecues gave food sales an extra lift.
UK retail sales and travel spending diverge
Barclays reported consumer spending growth of 0.8% in annual terms for the period from late April to late May. That marked a recovery from a 0.1% decline in April. However, the bank said that pace remained below inflation of around 3%, which points to continued pressure on household budgets.
Travel remained the weakest area. Barclays said travel spending fell 5.8% from a year earlier, while airline spending dropped 12.9%. It said consumers cut back on overseas plans.
Two thirds of respondents said they were actively adjusting their finances because of wider economic uncertainty. Meanwhile, the third straight monthly fall in travel spending showed that caution still shaped household behaviour beyond the retail sector.
The data offered some near-term relief for consumer sentiment readings. However, the mix of stronger retail volumes and weak real-terms spending left the outlook cautious.
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