In June, British consumers curbed their spending on clothing, attributing their frugality to a colder-than-usual month. This decline reflects an overarching sentiment that adverse weather can hinder economic growth. According to Barclays Plc, retail sales dipped by 0.6% year-on-year—the first drop since the Covid-19 lockdown in early 2021. Similarly, the British Retail Consortium (BRC) and KPMG reported a 0.2% decline in total retail sales, a stark contrast to the 4.9% annual gain observed the previous year.

These figures suggest another disappointing month for retail sales, as official data is expected to affirm next week. The economy’s growth has been hampered by the retail sector amid an unusually wet April.

Extreme weather patterns linked to climate change are demonstrating a wider impact on consumer spending habits, with significant variability observed during different weather conditions. Linda Ellett, KPMG’s UK head of consumer, retail, and leisure, stated, “Despite easing pressures on household finances from decreasing petrol and energy costs, and falling shop price inflation, consumers are hesitant to increase spending.”

Barclays data reveals a 2.6% decrease in retail spending, driven by an 8% drop in clothing sales. Non-food sales also slumped by 2.9% in the three months leading to June compared to the previous year, particularly affecting high street sales with a notable 3.7% drop in in-store non-food sales.

Karen Johnson, Barclays’ head of retail, noted that despite the sluggish start, sunnier weather later in the month improved the situation. The Euro football tournament and better weather in July are expected to stimulate spending further. Helen Dickinson, BRC’s Chief Executive, remains optimistic, anticipating that the summer social season will boost sales as the weather improves.