UK online retail spending increased sharply in August, with sales 8.9 per cent higher than a year earlier, according to the latest figures from the Office for National Statistics.
Online spending increased 2.5 per cent compared with July, significantly ahead of the growth recorded across retail as a whole.
The proportion of retail spending taking place online reached 28.8 per cent during the month.
Overall retail sales volumes increased 0.5 per cent in August and were 2.4 per cent higher than the same month last year.
The latest figures provide further evidence of the continued strength of digital shopping, despite the return of consumers to physical stores following the significant shift towards online purchasing during the pandemic.
With almost three in every ten pounds of retail spending now taking place online, digital remains a substantial part of the UK retail market as businesses prepare for the crucial final months of the year.
Commenting on the results, Warren Abbey, CEO of 365 Finance, said: “Retail sales increasing slightly in August will offer encouragement for the sector and is consistent with a three-month trend that has been stronger than the monthly noise implies. With rent, energy, and wages to cover every month, smaller retailers need consistent sales over time to feel more secure about their finances. Today’s result is a positive sign.
“As we approach Q4, many retailers will already be making decisions about seasonal stock in the run-up to Christmas and the holiday period. Having to make those decisions without strong revenues or depending on costly loans can have a knock-on effect, even as demand likely improves as the year closes out.
“Despite today’s more encouraging results, retailers still need options when demand slows down; options that help relieve short-term pressures and avoid a few bad months turning into a bad year. Access to appropriate finance will always give businesses a better chance of working through a difficult trading period and being ready when demand improves.”
Share