UK retail sales rose 0.3% in December. This is far lower than the 1.2% increase economists expect.
New figures from the National Bureau of Statistics also show that retail sales fell 0.4% in the fourth quarter despite the online boom.
Looking at the overall 2020, online sales boomed, reaching record highs, but total retail sales fell by 1.9% compared to 2019. This is the biggest drop on record.
Over 2020, clothing sales fell 25.1%, gas stations fell 22.2%, and department stores fell 5.2%. Online and mail order sales saw a record 32% increase over 2020.
Online sales at food stores rose 79.3%, department stores rose 65.9%, and home goods stores rose 73.4%.
“December retail sales increased slightly due to monthly improvements for clothing sales, as more stores were able to open due to ease of lockdown measures in some parts of the month. “This month’s grocery store sales were suppressed as retailers reported lockdowns and restrictions on the sale of essential items that affect footfalls.
“Retail sales in 2020 experienced the biggest annual decline in history as the pandemic was sacrificed. Clothing retailers exercised, with record annual declines of over 25%. restrictions resulted in a record year-over-year decline in fuel sales.
“Some sectors were able to resist trends in 2020. The increase in popularity of clicks and collections and people buying more items from their homes has become a strong year for internet sales. .
In separate news, government borrowing continues at a record pace. In December, the government borrowed £34.1 billion.
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