UK online retail spending fell by 0.4 per cent in September, according to the Office for National Statistics (ONS), as warmer weather held back demand for autumn clothing.
Online sales were still 6.8 per cent ahead of September 2025, though third-quarter values were 0.1 per cent lower than the previous three months. The online share of total retail spending edged down from 28.9 per cent to 28.8 per cent.
Across all retail, sales volumes also fell by 0.4 per cent, following a revised 0.7 per cent rise in August. Clothing, footwear and sports-equipment retailers were among the weakest, with the ONS saying unseasonably warm weather hit the launch of autumn and winter ranges.
Over the quarter, retail volumes were up 0.7 per cent on the second quarter and 1.5 per cent higher than a year earlier.
Phil Monkhouse, UK Country Manager at global financial solutions firm Ebury, said: “September’s fall in retail sales points to a consumer backdrop that remains fragile, with confidence wavering as households contend with rising prices and the prospect of higher borrowing costs.
“With inflationary pressures building and the likelihood of further Bank of England rate hikes increasing, the squeeze on disposable incomes risks becoming more pronounced, leaving consumers with less appetite to spend. With the Autumn Budget less than a week away, uncertainty over potential tax changes adds another layer of caution for households and businesses alike.
“For businesses, particularly SMEs, the challenge is compounded by rising operational costs and the need to plan ahead without knowing what the Chancellor has in store. Reconsidering some of the tax measures weighing on retailers would help ease the pressure and give firms more room to invest and grow.
“As retailers look towards the crucial Christmas trading period, protecting margins will be key in an increasingly challenging spending environment. For those trading internationally, effective FX hedging can help manage currency volatility, provide greater certainty over costs and support more confident business planning.”
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