LONDON, July 11 Reuters Unusually hot weather boosted sales of sun screen and barbecue food in Britain last month, a British Retail Consortium survey showed on Tuesday, but consumers spent less on bigticket items as high food prices continued to squeeze their budgets.
The BRC said retail spending increased by 4.9 in annual terms in June roughly in line with its average this year, though stronger than May39;s 3.9 and a 1.0 drop a year earlier.
Last month was Britain39;s hottest June since modern records began, and the BRC said this drove sales of swimwear, beach towels and outdoor games as well as garden furniture.
However, the BRC data is not adjusted for inflation, so last month39;s increase in spending still reflects a fall in the volume of goods purchased.
Previous BRC data showed prices among its members were up by an annual 8.4 on average in June, rising to 14.6 for food, despite a drop in the cost of some food products.
Over the second quarter as a whole, food spending was up 9.8 while nonfood spending grew just 0.3.
Paul Martin, UK head of retail at accountants KPMG, who sponsor the data, said stubborn food inflation was reducing shoppers39; ability to spend on nonessential items.
Consumers have so far remained resilient, but the triple threats of further interest rate hikes, resolute double digit food inflation and an economy recovering at slower rate than predicted, could hamper a return to much needed profitable growth across the retail sector, Martin…