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Retail sales unexpectedly fall in run up to Christmas

Sales across Britain's retail industry unexpectedly fell in December as shops faced a tough Christmas.

According to the Office for National Statistics, retail sales declined by 0.3% over the key Christmas month, following a downwardly revised 0.1% improvement in November.

Expectations had been for volumes to grow by 0.4% in December, with lower supermarket sales having offset the likes of improved automotive fuel, clothing and footwear sales.

ONS senior statistician Hannah Finselbach noted food retailers had faced a “very poor month” as sales sank to their lowest level since 2013.

December’s drop meant retail sales declined by 0.8% between the third and fourth quarters but were up 1.9% against the final three months of 2023.