Retail sales in Northern Ireland rose for first time in four months during November: Survey

Retail sales in Northern Ireland witnessed a rise for the first time in four months during November, according to an Ulster Bank survey.

Ulster Bank’s purchasing managers index (PMI) appeared to show the £100 Spend Local scheme having an impact.

The monthly survey, which reflects the experience of 200 manufacturing, construction, retail and services firms around the north, showed the pace of business activity broadly accelerating in November.

Ulster Bank’s chief economist Richard Ramsey said: “Northern Ireland saw the pace of business activity accelerate in November, but this uptick was solely down to a rebound in one sector – retail. Local retail sales rose in November for the first time in four months with the High Street Voucher Scheme undoubtedly contributing to the pick-up in demand.”

Christmas shopping is also likely to be a factor for the rise in November trade.

Ramsey said that, overall, manufacturing remained the strongest performer of the four sectors monitored in the local economy, despite that industry experiencing slower rates of growth relative to October.

“Services firms, on the other hand, reported their slowest rate of expansion in business activity in eight months, and incoming orders were broadly flat, while construction firms notched up their fifth successive month of contraction in both output and orders,” he added.

“Manufacturing aside, the near-term outlook for the private sector remains challenging.

“Indeed, retail’s pick-up in sales in November coincides with a slump in new orders, pointing to a slowdown over the months ahead.”

Under the Spend Local scheme, every adult in Northern Ireland was issued with a £100 voucher to boost the economy. Economy Minister Gordon Lyons has said some people still need to activate and use their Spend Local cards. The scheme was extended until midnight on 19 December as some people were still waiting to receive their £100.

“The scheme is boosting our economy by an extra £2m on average every single day and that is over £121m so far,” he said.

“The Northern Ireland Retail Consortium has credited the scheme with boosting the number of shoppers on our High Streets to their highest levels since before the pandemic.

“While this is a clear success, it is important to me and to our businesses that every penny on every card is spent in order to maximise the impact.”