LONDON (Reuters) – British retail sales fell by a greater-than-expected 0.9% in March from February, figures from the Office for National Statistics showed on Friday with bad weather during the month having an impact on shoppers.
Economists polled by Reuters had forecast that sales volumes would fall by 0.5% on the month after rising in January and February.
Sales in the first three months of 2023 showed their first rise in a calendar quarter in almost two years.
Retail sales volumes in March were 3.1% lower than a year earlier.
British consumers have been squeezed by inflation which hit a 41-year high of 11.1% in October and has remained in double digits since, including March’s stronger than expected reading of 10.1% announced earlier this week.
The Bank of England and most private economists say they expect inflation to fall quickly over the coming months as last year’ surge in energy prices drop out of the annual comparison.
A survey published earlier on Friday showed a jump in optimism levels among consumers.
(Reporting by William Schomberg; Writing by William James)
