The
Confederation of British Industry (CBI) reported on Tuesday its latest survey
of retailers found that the retail sales volume balance declined to -41 in the year to March from -23 in February,
pointing
to the sixth consecutive drop in the sales volumes of the UK’s retailers, the
pace of which the steepest one since
July 2024 (-43).
Economists
had forecast the reading to decrease to -28 in March.
The report also
revealed that sales volumes are anticipated to fall at a somewhat slower pace next
month (-30). In other survey
results, sales volumes for the time of year were judged to be below seasonal
norms in March, to a similar extent to February (-36, compared to -34 in
February), but are expected to disappoint again in April (-35).
Retail orders
placed upon suppliers decreased in the year to March at the same rapid pace as
in February (-38), and were predicted to fall at a similar rate next month (-41).
Retail stock volumes in relation to expected demand were firm in March (+20,
compared to 16 in February), but are set to soften slightly in April (+12).
Commenting on
the latest survey, Martin Sartorius, principal economist at the CBI, noted that companies
across the retail and wholesale sectors reported that global trade tensions and
the Autumn Budget are weighing on consumer and business confidence, which is
leading to reduced demand. “Tomorrow's Spring Statement is likely to focus on
the persistent challenges facing the UK economy, reinforcing the need for
policies that boost businesses’ confidence to invest,” he added.