UK retail sales rise 1.0% in June, beating forecasts

British retail sales unexpectedly rose in June, defying forecasts for a decline as warm weather, summer promotions, and the FIFA World Cup spurred consumer spending. The Office for National Statistics reported on Friday, July 24, 2026, that the volume of goods sold increased by 1.0% compared to May, following a 1.2% rise the previous month. Economists had anticipated a 0.3% monthly decline.

The data indicates a rebound in consumer confidence, driven by specific seasonal factors. A senior ONS statistician, Hannah Finselbach, noted strong demand for outdoor products, air conditioning, and clothing, with sports merchandise also selling well online, partly linked to the World Cup. The proportion of online sales reached 29.4% in June, its highest level since April 2021, with non-store retailing, which is primarily online, surging by 4.4%. Clothing and footwear sales saw their largest monthly increase since September of last year.

While the figures provide a positive snapshot for the second quarter, with retail sales estimated to have grown 0.6% from April to June compared to the first three months of the year, the broader economic context remains challenging. Analysts caution that...