Summary of UK Retail Sales Data - April 2026
Overview
In March 2026, UK retail sales data exceeded market expectations, indicating a rebound from a weak performance in February. The volume of retail sales rose by 0.7% month-over-month, significantly surpassing the consensus forecast of no change. This follows a downwardly revised decline of 0.6% in February.
Quarterly Performance
On a quarterly basis, retail sales increased by 1.6% in the first quarter of 2026 compared to the previous quarter. This growth was primarily driven by non-food retailers, including sectors such as art galleries, cosmetics, and electronics, which benefited from new product launches.
Key Drivers of Growth
The main contributor to the growth in March was the fuel sector, where gas stations reported increased sales due to rising fuel prices, influenced by ongoing conflicts in the Middle East. Excluding fuel, retail sales still saw a modest increase of 0.2% month-over-month, supported by stronger clothing sales attributed to improved weather conditions and new product offerings in telecommunications and online retail.
Online Sales Trends
Online sales experienced a notable rise of 2.4% month-over-month, increasing their share of total retail sales from 28.2% in February to 28.7% in March. However, it is important to note that overall sales volumes remain 0.1% below the pre-pandemic levels recorded in February 2020.
Detailed Sales Data
- Sales including fuel (MoM): 0.7% (forecast: 0.0%; previous: -0.4%; revision: -0.6%)
- Sales including fuel (year-over-year): 1.7% (forecast: 1.1%; previous: 2.5%; revision: 1.8%)
- Retail sales excluding fuel (MoM): 0.2% (forecast: 0.0%; previous: -0.4%; revision: -0.6%)
- Sales excluding fuel (year-over-year): 1.7% (forecast: 2.0%; previous: 3.4%; revision: 2.7%)
Market Reaction
Following the release of the retail sales data, the GBP halted its rise against the USD, indicating a cautious market response to the positive news.