Retail sales volumes have hit their highest level since 2022, driven by strong performance from clothing and online retailers.
Good weather in July and August helped drive a 0.9% rise in retail sales volumes in Q3 (July to September) 2025, according to ONS figures out this morning.
Estimated to have risen 0.5% in September alone, following August’s upwardly-revised score of 0.6%, volumes were driven largely by a roughly 4% bump in both clothing purchases and non-store – online or market trader – volumes.
There was almost no movement in sales volumes for food stores, which averaged 0.1% growth over the three-month period.
Despite there being little change in food stores’ sales volumes in the quarter, total retail sales by value were 2.7% higher for grocery stores in September than a year ago – the strongest 12-month comparison seen since December 2024.
Online retail sales values grew 3.5% over the quarter, powered by department stores and household goods stores, which both reported 8% or higher growth.
Part of consumer’s greater willingness to buy may have come from greater spending power.
ONS figures showed average earnings outpacing inflation by 0.6% in the three months to August, and the latest inflation figures reported a slight easing in annual food inflation to 4.5% in September.
GfK’s Consumer Confidence Index, meanwhile, reported consumer confidence to be at the highest level it has been all year, rising two points to return to –17.
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