Retailers enjoyed a brighter July as hot weather and excitement around the Women’s Euro 2025 football tournament encouraged shoppers to spend more. Official data from the Office for National Statistics (ONS) showed sales volumes rising by 0.6% during the month – a stronger performance than many economists had expected. Clothing outlets, footwear retailers and online platforms reported particularly strong growth, driven by summer wardrobes and football-inspired purchases.
The figures had been delayed after the ONS admitted to mistakes in its seasonal adjustments, prompting criticism about the reliability of its data. The organisation has faced scrutiny in recent months, particularly over its labour market statistics, which feed into government policy and Bank of England decisions. Revised figures show a steadier pattern of retail performance over the past year, although sales in the three months to July were still 0.6% lower compared with the previous quarter.
James Benford, the ONS’s head of economic statistics, said supermarkets and household goods stores had seen strong demand earlier in the year, but sales had fallen back since March. This dip was partially offset by robust online activity and spending on clothing and footwear. He apologised for the errors and said improvements were being made to ensure more reliable statistics in future.
Analysts warned the summer boost may prove temporary. While retailers benefited from warmer temperatures and football fever, pressures such as rising prices, talk of tax hikes ahead of the Budget, and the continued impact of higher interest rates could limit future growth. Economists added that consumer confidence will remain key to whether the retail sector can sustain momentum into the autumn.
