UK Retail Sales Recover but Firms Remain PessimisticThe CBI...

UK Retail Sales Recover but Firms Remain PessimisticThe CBI distributive trades survey’s retail sales balance in the UK rose to 37 in August of 2022 from -4 in July, the highest since November last year and easily beating market expectations of -7. Retailers reported solid growth in sales in the year to August and are expecting another firm rise next month (+31). However, sentiment amongst retailers remained gloomy, with firms feeling pessimistic about the business situation over the next three months to the greatest extent since the early phase of the Covid-19 pandemic in May 2020. “While retail sales returned to solid growth in the year to August, firms remain pessimistic about their business situation over the next three months – to the greatest extent since the first Covid-19 lockdown in 2020. This gloom is reflected in retailers’ investment intentions, which continue to be resolutely negative.”, Martin Sartorius, Principal Economist at the CBI, said.