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British retail sales increased unexpectedly by 0.4% in March, before Donald Trump announces scanning prices on American trade partners, with sunny weather conditions in sales of clothing and outdoor stores.
Friday monthly data from the National Statistics Office have shown that the volume of goods purchased exceeds the expectations of economists interviewed by Reuters, who had predicted a contraction of 0.4%.
The clothing and outdoor retailers have indicated that the good time has increased sales, although the increases were partly offset by Falls in supermarket sales.
The figure followed an increase of 0.7% in February and an increase of 1.4% in January.
However, the last retail sales Data does not have the impact of Trump’s pricing shock in April and the increase in business and household costs this month.
Distinct figures published on Friday by the GFK research company showed that consumer confidence has dropped four points at least 23 this month, the lowest level for more than a year.
Earlier in the week, the Global PMI S&P indices showed that American prices And the cost increase had also reached business morale.
“Retail sales checked very well before President Trump’s prices reach consumer confidence,” said Rob Wood, economist at the macroeconomics of consultation council.
Alex Kerr, economist at Consultancy Capital Economics, said that the retail sales figure would add 0.1% of GDP points in the first three months of the year.
“But although today’s retail sales data have confirmed that households spent a little more freely than expected in the first quarter, this might not last,” he added. “The decline in consumer confidence in April after American tariff chaos suggests that households may start spending more carefully in the coming months.”
THE British economy Has better than expected at the start of the year, with a 0.5% increase in GDP in February indicating faster growth in the first quarter than the 0.25% forecast by the Bank of England.
The Met Office said that the United Kingdom had had its third most consistent walk, helping sales.
Sales in non -food stores, including department stores, clothing and household stores, increased 1.7% during the month, pushing them to the highest level since March 2022.
During the three months of March, a less volatile expenditure measure, sales increased by 1.6% compared to the previous three months, the fastest pace since mid-201.
However, the data concerns the period before the American president announced “reciprocal” rates raised on dozens of American business partners in early April, and an obligation of 10% in the United Kingdom, in a Move which has convulted the world markets.
The costs of many public services for British consumers have also increased in April, with duties and stamp taxes amount also.
“We had been optimistic about British consumption prospects before the American rates stop at the prices,” said Wood. “Now the question is how growing uncertainty will strike consumers.”
