Retail sales in Scotland hit double-digit growth for first time this year

Demand for suntan lotion has contributed to retail sales growth in Scotland hitting double digits for the first time this year, according to analysis by audit professionals KPMG.

Total sales in Scotland increased by 11.3% in June compared with the same period last year, when they had grown 4.4%.

This was above the three-month average increase of 10.5% and the 12-month average growth of 8.5%.

Adjusted for inflation, the year-on-year growth was 2.9%.

Total food sales increased by 15.8% versus June 2022, when they had increased by 2.7%.

June was in line with the three-month average growth and above the 12-month average growth of 12.2%.

Total non-food sales increased by 7.5% in June compared with June 2022, when they had increased by 5.8%.

This was above the three-month average increase of 6.1% and the 12-month average of 5.4%.

David Lonsdale, director of the Scottish Retail Consortium, commented: “Scotland’s shops saw May’s bounce in retail sales continue into June, with a further solid real terms increase in retail sales values and despite a dip in shopper footfall last month.

“This outpaced the figure for the UK as a whole and was the best monthly real terms performance since Christmas.

“Retailers can take some solace that whilst consumers are feeling the pinch right now there is still some spending going on if they can find the right price for shoppers.”

Paul Martin, partner and UK head of retail at KPMG, said: “Sales of suntan lotion, food and clothing were all given a boost as Scots made the most of the record temperatures which helped total sales grow by 11.3% compared to last year.

“Positively, retail sales growth has remained steady at around 9% every month in the first half of this year.

“However, the growth comes against a background of much higher inflation levels resulting in reduced margins and profitability for operator across the sector.”