Data from the latest British Retail Consortium (BRC)-KPMG Retail Sales Monitor reflected a 1.1% year-on-year decrease in non-food sales for May, consistent with the same 1.1% drop recorded in May of the previous year.
Last month, BRC reported that consumer sentiment in the UK rose in May, from -48 in the previous month as economic expansion persisted.
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BRC chief executive Helen Dickinson said: “Consumers put the brakes on spending, with the slowest growth in 2025 so far. This was due largely to declines in non-food sales, as fashion and full price big-ticket items were held back by lower consumer confidence.”
“Retailers are grappling with the £5bn ($6.78bn) in extra costs from higher National Insurance contributions and wages, which kicked in during April. They also face an additional £2bn later this year from new packaging taxes and remain concerned about the consequences of the Employment Rights Bill. Ensuring the new bill supports workers’ rights without undermining retailers’ ability to continue to provide jobs and investment in people will determine whether the government achieves economic growth across the country or not,” Dickinson added.
Over the four weeks to 31 May 2025, in-store sales of non-food items saw a 0.9% year-on-year reduction, compared with a 2.6% decrease in the same month of 2024. Online sales of non-food items also fell by 1.5% year-on-year in May, contrasting with a 1.5% increase in May 2024.
The rate of online purchases for non-food items remained steady at 35.9% in May, mirroring the same percentage from May 2024.
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By GlobalDataOverall, UK retail sales witnessed a 1% year-on-year increase in May, surpassing the 0.7% rise seen in May 2024. Food sales specifically saw a 3.6% year-on-year uptick in May, exceeding the 2.8% increase from May of the prior year.
In the growth rankings for online sales categories, clothing and footwear experienced a decline, whereas health and beauty, along with household textiles, saw an upward trajectory.
KPMG retail & leisure consumer head Linda Ellett said: “While the sunshine continued, the pace of retail sales growth didn’t in May. Early seasonal purchases were likely a factor, as was a dampening of some spending appetite as households reflected upon the recent combination of essential bill rises. But May still saw slight growth, driven mainly by food and drink, with non-food purchases falling overall.
“Travel demand for the summer months ahead looks healthy, so retailers will be hoping June sees an upturn in related spending as people begin to think about what they want to pack in their suitcase.”
