- ORIGINAL NEWS
British retail rebound provides some hope for recession-hit economy
- SUMMARY
After a disappointing December, the UK retail sector has rebounded in January with a strong sales growth of 3.4%.
This uptick in spending is the largest monthly increase since April 2021 and suggests that the retail sector may be recovering from a difficult period.
Economists believe that falling inflation and rising wages in 2024 could provide a foundation for further recovery.
Despite these positive signs, sales remain below pre-pandemic levels, and challenges like high business rates and border control costs could still impact the sector.
- NEWS SENTIMENT CHECK
- Overall sentiment:
positive
Positive
“U.K. retail sales rebounded by 3.4% after a grim December, according to the Office for National Statistics, the strongest monthly gain since April 2021.”
“The “strong pick up in sales suggests the worst is now behind the retail sector and falling inflation and rising wages in 2024 will provide a strong platform for recovery””
Negative
“Sales over the key holiday trading period were far weaker than expected, with December seeing the biggest monthly fal since January 2021.”
“British retail sales meanwhile remain 1.3% below their pre-pandemic level from February 2020, according to the ONS.”