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Food sales soar amid overall sluggish growth

Food sales soar amid overall sluggish growth
Photo: iStock

Food sales remained solid in May as the saw the conclusion of football tournaments and two bank holidays, prompting spending on BBQs and picnics, shows an industry report released today (June 10).

According to data by British Retail Consortium, total retail sales increased by 1 per cent year on year in May, against growth of 0.7 per cent in May 2024.


Food sales increased by 3.6 per cent year on year in May, against growth of 2.8 per cent in May 2024.

Commenting on the numbers, Helen Dickinson, Chief Executive of the British Retail Consortium, said, “Consumers put the brakes on spending, with the slowest growth in 2025 so far.

"This was due largely to declines in Non-food sales, as fashion and full price big-ticket items were held back by lower consumer confidence. Gaming bucked the trend, thanks to some popular new releases.

"Food sales remained solid as the month saw the conclusion of football tournaments and two bank holidays, prompting spending on BBQs and picnics.

“Retailers are grappling with the £5bn in extra costs from higher National Insurance contributions and wages, which kicked in during April.

"They also face an additional £2bn later this year from new packaging taxes and remain concerned about the consequences of the Employment Rights Bill.

"Ensuring the new Bill supports workers’ rights without undermining retailers’ ability to continue to provide jobs and investment in people will determine whether Government achieves economic growth across the country or not.”

Commenting on the food and drink sector performance, Sarah Bradbury, CEO, IGD, said, "After the sunniest spring on record and a string of bank holidays, our Shopper Confidence Index rose by five points in May, helped by the prospect of lower energy bills and renewed momentum in UK trade agreements with the US and EU.

"This uplift marks a welcome shift from ‘Awful April’, but beneath the surface, confidence remains fragile. Our research shows that shoppers are still navigating financial uncertainty and continue to rely on money-saving tactics like planning ahead and buying on promotion.

"While the mood has brightened, we’ve yet to see this translate into meaningful changes in behaviour. With the external environment still volatile, shoppers remain cautiously optimistic, but not necessarily ready to spend freely.”