Retail sales rise 1.3% year-on-year

BDO reports strong sales in May and expects Olympics to spark a "feel-good factor" with consumers.
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UK retail saw like-for-like sales rise 1.3 per cent year-on-year in May, according to figures from the BDO High Street Sales Tracker.

Fashion sales grew during the middle of May as the weather improved, while homeware sales rose 4.2 per cent.

BDO LLP’s national head of retail and wholesale Don Williams said: ““Once again we’ve seen promotional activity play a lead role in stimulating demand. 

“For the best this is carefully planned, not knee jerk, broad and deep discounting. Clearly it will eat into margins, but retailers know promotions now tend to lead demand at least as much as seasonal buying patterns.

“Although the sunshine, Diamond Jubilee and Olympics will undoubtedly spark a feel-good factor, this is bound to be dampened by the continued economic uncertainty both here and abroad. 

“In this type of environment, people will stick to what they know and that means trusted brands and attractive promotions.”

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