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UK Retail Sales September 2026
September 18 @ 2:00 am - 3:00 am
UK Retail Sales September 2026
UK Retail Sales: +0.5% MoM, +2.4% YoY (August 2026) (Friday, at 7:00 am BST (2:00 am ET, 7:00 am London)). Covers August 2026 data.
- Actual
- +0.5% MoM, +2.4% YoY (August 2026)
Full schedule and background: UK Retail Sales.
Updated
UK retail sales volumes rose 0.5% month-on-month in August 2026, far exceeding the consensus forecast of a 0.2% decline, according to data published by the Office for National Statistics on September 18, 2026.
A consensus forecast for August 2026 UK retail sales has not yet been published by Reuters or Bloomberg. The prior reading, covering July 2026, showed retail sales volumes fell by 0.5% month-on-month, according to the Office for National Statistics, marking the first monthly decline since April 2026 and following an upwardly revised 0.7% rise in June. Traders and analysts will be watching whether August data confirms this softening trend or rebounds, with a surprise likely to be any reading showing growth stronger than 0.5% or a deeper contraction than economists broadly expect, which would suggest weakening consumer demand ahead of the autumn.
The UK Retail Sales report for August 2026 is released on September 18, 2026 at 7:00 am BST (7:00 am London time, 2:00 am ET) by the Office for National Statistics (ONS). The release covers retail sales volumes and values for August 2026, the most closely watched monthly gauge of consumer spending on the high street and online. Full schedule and background: UK Retail Sales.
What is UK Retail Sales?
UK Retail Sales measures the volume and value of goods sold by retailers in Great Britain, covering food stores, non-food stores (such as clothing, household goods and department stores) and non-store retailing, which is mostly online. The ONS builds the figures from a monthly survey of around 5,000 retailers, adjusting for seasonal patterns and inflation to produce a “volume” measure that strips out the effect of price changes, so it reflects how much people are actually buying rather than how much they are spending.
Markets watch this release closely because consumer spending accounts for roughly 60% of UK economic output. A run of weak retail figures can signal a slowing economy and add pressure on the Bank of England to consider interest rate cuts, while stronger than expected spending can raise concerns about inflation staying sticky.
The headline figure is the month-on-month percentage change in sales volumes, seasonally adjusted. Economists and journalists also watch the year-on-year change and a version of the data that excludes fuel, since petrol price swings can distort the picture of underlying consumer demand.
When is the August UK Retail Sales report released?
The ONS publishes the August 2026 retail sales bulletin on Friday, September 18, 2026 at 7:00 am London time (7:00 am BST, 2:00 am ET). The data is published on the ONS website as part of its scheduled release calendar and is free to access at the time of release, with no embargoed press access for the general public.
What is the consensus forecast?
A consensus forecast for the August 2026 UK retail sales report had not yet been published at the time of writing. Forecasts from economists polled by Reuters and other data providers typically appear in the days immediately before the release.
The most recent published figures, for July 2026, showed retail sales volumes fell 0.5% month-on-month, in line with market expectations at the time, according to data compiled by Trading Economics. This followed a downwardly revised 0.7% rise in June 2026. On an annual basis, sales were up 1.6% in July, the smallest annual rise in three months, down from 3.8% in June.
| Measure | Prior (July 2026) | Consensus (August 2026) |
|---|---|---|
| Retail sales volumes, month-on-month | -0.5% | Not yet published |
| Retail sales volumes, year-on-year | +1.6% | Not yet published |
What the result could mean
| Scenario | Likely market read | What it means in plain English |
|---|---|---|
| Above consensus | Sterling could firm and gilt yields may edge up if traders see it as reducing the chance of a near-term Bank of England rate cut | Consumers spent more than expected, which could suggest the economy is holding up better than feared |
| In line with consensus | Limited market reaction, as the figure would confirm the existing view of a gradually cooling consumer | Spending is behaving broadly as economists expected, so the picture for household finances stays much the same |
| Below consensus | Sterling could soften and traders may add to bets on a Bank of England rate cut, according to commentary from analysts tracking UK data surprises | Households pulled back on spending, a sign that cost-of-living pressures or weaker confidence are weighing on the high street |
Why does this release matter right now?
The Bank of England watches retail sales as one of several signals on the health of the consumer, alongside wage growth and inflation. According to Trading Economics, the July 2026 decline was the first fall in sales since April, with non-food stores and online retailers pulling back after a burst of early summer promotions and hot weather had pulled demand forward into May and June. Food store sales held up better, supported by warm weather and World Cup-related spending.
This volatility around weather and one-off events like major sporting tournaments makes it harder to read the underlying trend, which is one reason economists tend to look at the three-month or annual comparison alongside the single month-on-month figure. With UK inflation still running above the Bank of England’s 2% target, policymakers are watching whether consumer spending cools enough to ease price pressures without tipping the economy into a sharper slowdown.
What It Means for Your Money
- Mortgages and savings rates: Weaker than expected retail sales can support the case for Bank of England interest rate cuts, which would eventually feed through to lower mortgage rates for borrowers coming off fixed deals, but also lower returns on savings accounts.
- Jobs and wages: A sustained slowdown in consumer spending can eventually filter through to retail and hospitality employment, since these sectors depend directly on footfall and sales volumes.
- Prices: If shoppers pull back sharply, retailers may respond with more discounting, which can help cool inflation over time, benefiting anyone doing a weekly food shop or buying big-ticket items.
- Investments and pensions: UK-focused equity funds and pension holdings with exposure to retailers and consumer goods companies can move on the day of release, particularly shares of major supermarkets and high street chains.
- The pound: Sterling often reacts within minutes of the release against the dollar and euro, since currency traders use consumer data to gauge the likely path of Bank of England policy relative to the US Federal Reserve and European Central Bank.
Related events
- Bank of England interest rate decisions, which weigh consumer spending data heavily when setting rates
- UK Consumer Prices Index (CPI) inflation report, published separately by the ONS
- UK labour market and wages data, which together with retail sales gives a fuller picture of household finances
Frequently Asked Questions
What time is UK Retail Sales released?
The ONS publishes the release at 7:00 am London time (7:00 am BST), which is 2:00 am ET.
Where can I find the official release?
The data is published on the ONS release calendar and the main ONS retail sales statistical bulletin page.
How does retail sales data affect interest rates?
The Bank of England uses consumer spending trends, alongside inflation and wage data, to judge whether the economy needs looser or tighter monetary policy, so a run of weak or strong retail figures can shift expectations for future rate decisions.
What is the difference between the value and volume measures?
The value measure shows how much money was spent in cash terms, while the volume measure adjusts for price changes so it reflects the actual quantity of goods bought, which is why economists focus on the volume figure.
When is the next UK Retail Sales report released?
The ONS publishes retail sales monthly, typically around the third week of the following month, so the next report covering September 2026 data is expected around mid-October 2026.
Results: UK Retail Sales, August 2026
| Measure | Consensus | Actual | Prior |
|---|---|---|---|
| Retail sales volumes, month-on-month | -0.2% | +0.5% | -0.5% (July 2026, revised) |
| Retail sales volumes, year-on-year | +1.9% | +2.4% | +1.2% (revised down from +1.6%) |
UK retail sales volumes rose 0.5% month-on-month in August 2026, comfortably beating the consensus forecast of a 0.2% fall from economists surveyed by Reuters and Bloomberg, according to the Office for National Statistics. The reading marked a sharp reversal from July’s 0.5% decline and defied expectations of a continued slowdown in consumer spending. On an annual basis, sales volumes rose 2.4%, faster than the 1.9% pace forecast and up from a downwardly revised 1.2% in July.
The ONS attributed the rebound to stronger online shopping and department store sales, with clothing and food retailers also recording gains. Fuel sales were the exception, falling 1.3% from July as pump prices climbed amid renewed uncertainty in the Middle East linked to the Iran conflict. Warm weather and what commentators described as a brighter national mood were cited as supporting factors, even as household energy bills continued to rise. The result landed closer to the upside scenario set out in the preview, in which stronger than expected spending would suggest the economy is holding up better than feared.
The surprise strength came despite a more cautious backdrop from individual retailers. Primark reported flat underlying UK sales growth in its most recent quarter, John Lewis Partnership widened its half-year losses, and Next trimmed its sales growth outlook, according to reporting from GB News. This divergence between the aggregate ONS figures and individual company updates suggests the rebound may be concentrated in specific categories rather than broad-based across the high street.
Market Reaction
Sterling edged higher against the dollar in the minutes after the release, with GBP/USD rising to around 1.3366 from 1.3361, according to FXStreet. The move was modest, reflecting the fact that markets had already been repricing Bank of England expectations following the previous day’s interest rate decision, when the Monetary Policy Committee voted 6-3 to hold Bank Rate at 3.75%, with three members preferring a 25 basis point increase to 4%, according to Sunday Guardian Live.
The stronger retail figures reinforced the slightly hawkish tone from the Bank of England, adding to the view among traders that an interest rate cut is unlikely in the near term. The FTSE 100 had already risen 1.2% on Thursday, driven mainly by the rate decision, a pause in gilt sales and falling oil prices, and equity moves on Friday were attributed more to these factors and global risk sentiment than to the retail sales print itself. Gilt yields remained low heading into Friday’s session, with no immediate large move linked specifically to the retail data.
What this means for your money now
The stronger than expected spending figures, combined with the Bank of England’s hawkish hold, mean the near-term outlook for savers and borrowers has shifted slightly. Anyone hoping for an imminent cut to mortgage rates may need to wait longer, since a resilient consumer gives the Bank of England less reason to loosen policy quickly, while savers holding cash in easy access accounts continue to benefit from rates that remain higher for longer. Shoppers, meanwhile, face a mixed picture, with rising fuel and energy costs offsetting the boost from stronger high street and online spending.