LONDON, March 24 (Reuters) - British retail sales have tumbled this month by the most since April 2020 when most non-food shops were closed at the start of the COVID-19 pandemic, a survey showed on
UK Retail Sales Experience Largest Decline Since 2020 Amid Economic Pressures
Retail Sales Plunge and Contributing Economic Factors
Record Decline in Retail Sales
LONDON, March 24 (Reuters) - British retail sales have tumbled this month by the most since April 2020 when most non-food shops were closed at the start of the COVID-19 pandemic, a survey showed on Tuesday.
CBI Survey Results
The Confederation of British Industry's said its monthly gauge of retailers' annual change in sales volumes sank to -52 in March from an already weak -43 in February, and businesses expected only a marginal improvement to -49 in April.
Expert Commentary
"Retailers report that weak economic conditions continue to weigh on household spending, with subdued activity also evident across the broader distribution sector," CBI Lead Economist Martin Sartorius said.
Survey Details and External Influences
Survey Timing and Methodology
The survey of 50 retail chains took place between February 25 and March 13, mostly falling after the start of the U.S.-Israeli war on Iran.
Impact of Geopolitical Conflict and Inflation
The conflict has pushed up petrol prices in Britain and the Bank of England expects it will increase broader inflation later this year.
Government Response and Business Concerns
The survey did not directly attribute the fall in sales to the conflict. The CBI said it increased the necessity for the government to ease the cost impact to businesses from new employment rights and tax.
"The conflict in the Middle East - which risks fuelling price pressures and squeezing household budgets - underscores the need for the government to take further action to lower the cost of doing business for distribution firms," Sartorius said.
Reporting Credit
(Reporting by David Milliken)
