- Retail sales volumes in August 2015 are up 0.2% on the month, and up 3.7% on the year
- Average store prices fell by 3.3% in August 2015 compared with August 2014
Commenting on the retail sales figures for August 2015 published today by the ONS, David Kern, Chief Economist at the British Chambers of Commerce said:
“Monthly growth in sales remains modest at 0.2%, but the annual increase of 3.7% is strong and indicates that retail sales are expanding at a much faster pace than the economy as a whole.
“The figures reinforce our assessment that the UK economy remains too dependent on consumer spending. While a healthy consumer sector is important to the economy’s wellbeing, we believe that greater efforts are needed to make Britain’s growth more balanced, with greater emphasis on investment and exports.
“At the same time, the deflationary forces in the retail sector are intensifying, and August was the 14th consecutive month of annual price falls in the retail sector.
“This reinforces our view that in spite of rising earnings, inflationary pressures in the UK economy are still muted, and the MPC can wait until well into next year before contemplating increases in interest rates.”