Late Budget dampens Black Friday spending

While retail sales rose 1.4% year on year in November, this was below the 12-month average of 2.5% and the weakest rate in six months, the BRC-KPMG Retail Sales Monitor revealed.

Food sales were ahead 3% – above the 12-month average of 3.6% – and non-food was up 0.1%, below the 12-month average of 1.6%.

The proportion of non-food items bought online rose to 44%, up from 43.8% in November 2024.

British Retail Consortium chief executive Helen Dickinson said: “Pre-Budget jitters among shoppers meant the month of Black Friday did not deliver as strongly as retailers had hoped or the economy needed.

“Sales growth was the weakest in six months, despite the elevated inflation. Not unexpectedly, online dominated, with the proportion of non-food bought online reaching its highest level since 2022.

“Many consumers took advantage of promotions, with homeware and upholstery selling well ahead of festive hosting. Fashion lagged, especially with the mild first half of November dampening demand for winterwear.

“Retailers continue to invest in Christmas offerings, building up stock levels, and promoting festive products. It has been a difficult year as retailers grappled with ever-rising cost pressures.

“Looking ahead to 2026, it is time public policy started prioritising measures to revive consumer confidence and keep costs of doing business down so retailers can focus on growth strategies to maximise their contribution to economic recovery.”

KPMG UK head of consumer, retail and leisure Linda Ellett added: “November delivered some growth in retail sales, but many retailers will be disappointed that Black Friday period promotions failed to deliver the bigger boost that they were hoping for.

“While the likes of computing and household appliances outperformed Black Friday week last year, total non-food sales growth across all categories was minimal overall.”