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'Brighter January' for retailers as retail sales picked up pace

'Brighter January' for retailers as retail sales picked up pace

Brighter January as UK retail sales regain momentum

Photo: iStock

A drab December gave way to a brighter January as retail sales picked up pace, shows the data released today (Feb 10).

According to figures released by British Retail Consortium (BRC), food sales increased by 3.8% year on year in January, against a growth of 2.8% in January 2025. This was flat against the 12-month average growth of 3.8%.


UK total retail sales increased by 2.7% year on year in January, against a growth of 2.6% in January 2025. This was above the 12-month average growth of 2.3%.

Non-Food sales increased by 1.7% year on year in January, against a growth of 2.5% in January 2025. This was above the 12-month average growth of 1.1%. In-Store Non-Food sales increased by 2.0% year on year in January, against a growth of 2.6% in January 2025. This was above the 12-month average growth of 0.9%.

Online Non-Food sales increased by 1.3% year on year in January, against a growth of 2.2% in January 2025. This was below the 12-month average growth of 1.4%.

The online penetration rate (the proportion of Non-Food items bought online) increased to 37.2% in January from 35.7% in January 2025. This was below the 12-month average of 37.4%.

Helen Dickinson, Chief Executive at the British Retail Consortium, said, “A drab December gave way to a brighter January as retail sales picked up pace. Many shoppers had held off Christmas spending and waited for the January sales, with the start of the new year showing the strongest growth. And bargain hunting was not limited to online, with in-store sales showing the highest growth in over six months.

Commenting on food and drink sector performance, Sarah Bradbury, CEO at IGD, said, “After the end-of-year festivities, shopper confidence was muted in January, primarily driven by concerns about future price rises.

"January also brought with it extensive new grocery retail product launches, particularly centred around health, encouraging health-minded shoppers to trial something new.

"The outlook for 2026 indicates that food inflation will persist for some time meaning some shopper concerns are well-founded. As a result, we expect shoppers to continue to scrutinise their purchasing.”