FX.co ★ UK BRC Retail Sales Growth Cools to 1.0% in July, Signalling Softer Consumer Momentum

UK retail sales growth slowed in July 2026, with the BRC Retail Sales Monitor rising 1.0% year-over-year, down from a 1.7% increase recorded in June 2026. The data, updated on 10 August 2026, indicate a moderation in consumer spending momentum as retailers navigate a more challenging demand environment.

Both figures are measured on a year-over-year basis, comparing each month’s sales with the same month a year earlier. While sales are still growing, the deceleration from June to July suggests that households may be becoming more cautious, potentially reflecting pressure on disposable incomes or shifting spending patterns.

The softer reading will be closely watched by markets and policymakers for signs of how resilient UK consumer demand remains in the second half of the year, as retail activity continues to play a central role in the country’s economic outlook.