FX.co ★ UK Retail Sales Growth Slows Sharply in May

In May 2025, UK retail sales saw a marginal increase of 0.6% on a like-for-like basis, a significant drop from the 6.8% surge observed in April and well below the anticipated 2.7% growth forecast by analysts. This represents the slowest growth rate in six months, as consumers face the dual pressures of rising prices and higher monthly expenses. Helen Dickinson, the Chief Executive of the British Retail Consortium (BRC), highlighted that consumers have "put the brakes on spending," especially on non-essential items like fashion and large, full-priced purchases, due to waning consumer confidence. However, food sales held steady, partly driven by excitement surrounding several major football tournaments. The gaming sector also saw strong performance, fueled by the release of popular new titles. Linda Ellett, UK Head of Consumer, Retail and Leisure at KPMG, indicated that unusually sunny weather might have led consumers to make seasonal purchases earlier than usual, further easing sales growth in May.