UK retailers see weak Christmas trading amid rising cost of living: BRC


  • World
  • Wednesday, 14 Jan 2026

LONDON, Jan. 13 (Xinhua) -- Retailers in Britain experienced a drab Christmas in December 2025 as households continued to cut spending amid a rising cost of living, data from the British Retail Consortium (BRC) showed on Tuesday.

The country's total retail sales rose 1.2 percent year on year in December, well below the 3.2 percent growth recorded a year earlier and also below the 12-month average growth of 2.3 percent, according to the BRC.

Food sales increased 3.1 percent year on year, outpacing growth in December 2024 but still below the 12-month average, while non-food sales fell 0.3 percent, reversing the 4.4 percent growth seen a year earlier.

"It was a drab Christmas for retailers, as sales growth slowed for the fourth consecutive month," said Helen Dickinson, chief executive of the BRC. She noted that food sales were lifted mainly by ongoing food inflation, while sales of gifting items fell short of expectations.

"It remains a challenging time for retailers, with consumers cutting back on spending due to higher household bills and any discretionary spend is being prioritized, particularly toward holidays and home improvements," said Linda Ellett, British head of consumer, retail, and leisure at KPMG. "Retailers are also facing increasing costs while needing to invest in innovation."

Dickinson urged efforts to support struggling families and give the economy the boost it needs.

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