FX.co ★ UK Retail Sales Rebound In August: CBI

UK retail sales unexpectedly rebounded in August but firms were pessimistic about the business outlook, the latest quarterly Distributive Trades Survey from the Confederation of British Industry showed on Thursday.

A net 37 percent of retailers reported an increase in sales in August, which was the fastest rate in nine months. This was in contrast to the 4 percent of retailers registering a fall in July. The expected balance for August was -7 percent.

For September, a net 31 percent forecast an increase in sales volume.

The survey showed that internet sales continued to ease from a year ago but the pace of decline moderated to -7 percent from -37 percent in July. About 3 percent expect internet sales to fall next month.

Firms remained pessimistic about the business situation over the next three months, with the balance easing to -22 percent from -13 percent in May, to the greatest extent since May 2020.

Average selling price inflation sped up to its fastest pace since 1985. The corresponding balance rose to +87 percent from +77 percent in May.