UK Retail Sales Fall 0.4% in September Amid Weak Consumer Confidence

UK retail sales volumes fell by 0.4% in September 2026 compared with the previous month, according to the Office for National Statistics (ONS), as uncertain consumer confidence weighed on spending. The decline followed a 0.7% increase in August and a 0.4% fall in July. The latest figures were weaker than economists’ expectations of a 0.1% drop, highlighting growing challenges for retailers despite relatively resilient consumer spending in recent months. Non-store retail sales, including online shopping, declined by 2.2% during September, while sales at physical textile, clothing and footwear stores fell by 0.9%.

 

Retailers attributed the weakness in clothing sales to unseasonably warm weather, which reduced demand for autumn and winter collections, alongside lower store footfall and consumers cutting back on discretionary purchases. With household disposable incomes under pressure and uncertainty building ahead of the Autumn Budget, shoppers are increasingly looking for bargains and delaying purchases in anticipation of Black Friday promotions. Retail industry experts warned that the weaker performance could complicate the upcoming Golden Quarter, traditionally a crucial period for retailers.

 

PwC UK’s head of retail, Jacqueline Windsor, said the peak shopping season remained uncertain, while RSM UK’s Jacqui Baker highlighted the need for greater clarity and support for both businesses and consumers. Consumer confidence also fell to -24 in October, reversing gains made over the summer. Retailers are now looking to the government’s upcoming Budget for measures to ease business costs and support household spending as they prepare for a challenging festive shopping season.