Food store sale volumes hold up as wider retail sees September drop

Food store sales nudged up by 0.2% in September, following a 1.4% rise in August, to counter-balance the overall fall in retail sales. Non-food stores’ sales volumes fell by 1.7%.

Despite their relatively good September, food store sales remain 3.7% down compared with February 2020.

The proportion of food sales bought online is now at 8.8%, compared with 7.9% for the same month last year.

The relatively good performance in food sales was unusual for the time of year, said some analysts.

Silvia Rindone, UK and Ireland retail lead for accountants EY, said the “unseasonal spike” was down to the “warm spell that prompted consumers to make the most of the good weather”.

Gizem Gunday, partner at business consultants McKinsey, added that the rugby world cup was another factor boosting food sales.

Helen Dickinson, chief executive of the British Retail Consortium, said: “Retailers are hopeful that easing inflation we have seen in recent months will boost consumer confidence.

“Retailers will continue to support customers by bringing prices down wherever they can.

“But the support they can provide will be limited by the expected £470m-a-year rise to business rates from next April.

“The chancellor must scrap the rates rise in his upcoming budget so retailers can continue to deliver the best value for customers over the festive period and beyond.”