UK retail sales recorded modest growth in October as consumers delayed purchases ahead of Black Friday and Christmas, leaving businesses facing uneven demand during the final quarter of the year.
Total retail sales increased 1.5% compared with October 2025, according to the latest British Retail Consortium and KPMG Retail Sales Monitor.
The increase was slightly below the 1.6% recorded a year earlier, although it exceeded the three-month average of 1.2% and matched the 12-month average of 1.5%.
Food sales provided much of the growth, increasing 3.2% year on year. That compared with growth of 3.5% during October 2025.
Non-food sales were flat, reflecting continued caution around discretionary purchases, particularly more expensive products that shoppers expect to find discounted during November.
The figures cover the four weeks to 31 October and provide an early indication of trading conditions ahead of the Christmas shopping period.
Helen Dickinson, chief executive of the BRC, said demand for furniture, white goods, and other major purchases had been weak as customers waited for promotional offers.
Food retailers benefited from seasonal demand associated with Halloween and the autumn half-term holiday, while government advice encouraging households to maintain emergency supplies provided a modest additional boost.
Online sales outperform physical stores —
Differences between physical and online trading were particularly pronounced within non-food retail.
In-store non-food sales declined 1.1% year on year, compared with growth of 0.1% in October 2025.
Online non-food sales increased 1.8%, having been unchanged during the equivalent period last year.
The proportion of non-food purchases made online increased to 38.6%, compared with 38.2% in October 2025, continuing the gradual movement of consumer spending towards digital channels.
Wet autumn weather contributed to stronger online performance, while demand for seasonal clothing and household products provided some support for retailers.
Linda Ellett, UK head of consumer, retail and leisure at KPMG, said purchases of clothing, footwear, and products such as duvets had improved as temperatures fell.
However, she also identified higher household costs, uncertainty ahead of the Budget, and expectations of Black Friday discounts as constraints on overall spending.
The combination has created a difficult trading environment for businesses seeking to increase sales without sacrificing profitability through extensive promotional activity.
Retailers also face higher operating costs, including employment expenses, energy bills, and other overheads, placing further pressure on margins where sales growth remains limited.
Broader spending figures show mixed conditions —
Separate Barclays consumer card data showed annual spending growth of 2.3% in October, compared with 2% in September.
That measure covers a broader range of goods and services than the BRC-KPMG Retail Sales Monitor and consequently provides a different perspective on consumer expenditure.
Spending on essential categories increased 3.1%, influenced partly by higher expenditure on fuel, while non-essential spending rose 1.9%.
Both sets of figures measure the value of expenditure, meaning that higher prices can contribute to growth without a corresponding increase in the quantity of products purchased.
The BRC-KPMG results suggest that retailers entered November with subdued demand for major discretionary purchases, continued growth in food spending, and stronger online performance than in physical non-food stores.
With Black Friday and Christmas approaching, businesses are concentrating their promotional activity into the final weeks of the year while managing the effect of operating costs and discounting on profitability.
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