Department stores enjoy sales surge during september



The latest CBI retail sector snapshot indicates that UK department stores saw a massive sales growth during September.
Chain stores, such as House of Fraser and John Lewis, achieved the highest sales.  The increase in sales is the highest recorded since records commenced during May 2010.

Furniture retailers, carpet stores and shoe stores reported the same sales growth during September.  However, the picture is not as rosy for grocery stores who reported a decline in sales, compared to August.  Chemists also reported a decline in sales.

Shopping appetites have eased back generally this month. Of the retailers participating in the survey, 48% noted an increase in sales volumes compared to one year earlier, whilst 17% reported lower figures. The newest distributive trades survey indicates that retailers are not as confident about the immediate future.  In excess of 25% of retailers are expecting an increase in sales in the next quarter. This is the lowest number since July.  The volume of orders placed by retailers with their suppliers has reached the lowest level since December.

The retail sector in the UK appears to be in good health, compared to the rest of Europe.  Data collected by the European commission and the CBI distributive trades survey for the UK indicates that both confidence and sales are higher in the UK than in other major European economies and across the EU in general.

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