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Online shopping bounces back in as e-commerce climbs to 28.8%

Online sales values rose 2.5% in August and non-store retail volumes grew 1.7%, recovering more than half of July's slump, with online spending now 8.9% higher than a year ago.

Online shopping

E-commerce sales recovered in August after a July dip, increasing their share of overall UK retail spending to 28.8%.

Image: Getty Images

An analysis of the latest Office for National Statistics (ONS) retail sales bulletin shows that e-commerce rebounded strongly in August, following a big dip in July. Home delivery analyst Parcelhero says the data confirms that online retail's long-term growth is firmly on track, despite a bumpy summer.

Online spending values rose by 2.5 per cent in August, rebounding from a 4.2 per cent fall in July. Online sales were 8.9 per cent higher than in August 2025. Across the three months to August, online spending rose 1.9 per cent compared with the previous three months, and was up 10.1 per cent on the same period a year earlier.


"Online sales outpaced retail as a whole," said Parcelhero's Head of Consumer Research, David Jinks MILT. "E-commerce's 2.5 per cent growth in August was almost twice the 1.3 per cent rise in total spend across stores and online. As a result, the proportion of sales made online increased from 28.4 per cent in July to 28.8 per cent.

"The volume of goods sold by non-store retailers, which are mainly online retailers, rose by 1.7 per cent in August, a partial recovery from their July fall," Jinks continued. "Retailers believe July's weaker sales were down to promotions that pulled spending forward into June. A number of non-store retailers also say August trading was strong in its own right. Over the three months to August, non-store sales volumes rose by 5.4 per cent. The rise was helped by an exceptional June, when hot weather drove sales of fans and air conditioning units, alongside sports merchandise and clothing."

He said July's figures had some people asking whether online shopping had run out of steam: "August has answered that question. Given the healthy 2.5 per cent rise in online sales values, July's dip looks like simply the morning after a very big night. June's heatwave, early summer promotions and the start of the World Cup meant many shoppers had already done their buying. Once that effect wore off, online spending bounced straight back.

"Of course, what matters most is the long-term picture, and that is very positive for e-commerce. Online sales values in the three months to August were more than 10 per cent higher than a year earlier, and almost 29p of every pound spent in retail now goes online. That is a remarkable figure, and it keeps rising."

ONS also reports that fuel sales fell in August as pump prices rose sharply, and that some drivers are now only partly filling their tanks. That could also strengthen the move to online shopping.

"When filling up the car gets more expensive, a trip to an out-of-town retail park becomes less appealing," said Jinks. "Many consumers will look to home delivery instead. With the key autumn sales events and the Christmas peak ahead, retailers need to make sure their delivery options are fast, affordable and reliable. August shows that shoppers are ready to spend online, as long as the service meets their expectations."

Overall, ONS estimates that retail sales volumes rose 0.5 per cent in August, after a 0.5 per cent fall in July. Volumes rose 0.9 per cent over the three months to August.

‘E-commerce is continuing to change the retail landscape, and its impact is increasing every month," Jinks concluded.