Help Sitemap Home Skip Navigation Contact Us Disability Statement

 
 
Saturday, 6th September 2008 Change Date

Premium Article !

Your account has been frozen. For your available options click the below button.

Options

Premium Article !

To read this article in full you must have registered and have a Premium Content Subscription with the The Scotsman site.

Subscribe

Registered Article !

To read this article in full you must be registered with the site.

Rising food prices help to keep Scottish tills ticking over



Click on thumbnail to view image
Click on thumbnail to view image
Click on thumbnail to view image
Click on thumbnail to view image
Click on thumbnail to view image

Published Date: 18 June 2008
SUNNY weather in May boosted retail sales growth in Scotland to its strongest level since February – outstripping the performance in the rest of the UK.
Like-for-like sales north of the Border rose 2.4 per cent in May, compared with the same month the previous year.

UK-wide, the figure was just 1.9 per cent, according to the figures published today by the Scottish Retail Consortium (SRC).

Desp
ite the relatively good news, experts yesterday warned that the figures did not suggest an end to curbed consumer spending, saying an increase in the price of food over the period had pushed sales higher.

The rise comes as the Consumer Prices Index rose to 3.3 per cent in May, up from 3 per cent in April – demonstrating that rising costs were being passed on to the consumer.

The SRC said that the three-month average figures to May, of 1.4 per cent, show a gradual downward trend in like-for-like sales.

In Scotland, total sales – which includes figures for new shops opened within the year – were 8 per cent higher, beating the 4.6 per cent rise in the rest of Britain.

The SRC said sales were boosted by some warm sunny weather compared with a very wet May in 2007, sparking strong sales of products such as barbecues and summer clothing such as sandals.

Like-for-like sales of food went up 4.5 per cent compared to May 2007, with strawberries and asparagus selling particularly well.

However, non-food sales were almost flat for the third consecutive month, despite heavy discounting, especially for big-ticket items such as kitchen electrical goods.

Professor John Dawson, professor of marketing at the University of Edinburgh, said: "We have got to factor in that the figures show change year-on-year – and that suggests what we are beginning to see is price increases coming through. This means the sales rise is not quite as strong as it may seem.

"Retailers are having to pass some of the rising costs on to the consumer."

Fiona Moriarty, director of the Scottish Retail Consortium, said: "Scottish like-for-like sales growth rose at its fastest rate since February as summer weather finally arrived in early May. Food and drink were the main drivers of overall sales growth.

"The sun encouraged people to buy summer fruit, barbecue food, beers and wines but sales figures were also boosted by increases in some food prices.

"The appeal of a number of new stores and warm weather brought Scottish customers out to buy summerwear giving clothing retailers their best performance since December but generally a shortage of spare cash kept non-food sales weak."

The SRC added that, when the weather cooled later in the month, trade shifted back to green and root vegetables, meat and poultry.

The figures came from the Scottish Retail Sales Monitor, compiled together with the University of Edinburgh School of Management.



The full article contains 501 words and appears in The Scotsman newspaper.
Page 1 of 1

 
1

Mcsnagpile,

18/06/2008 19:24:49
My vegetable patch came on fine in May. It is true my neighbour bought sandals and a new barbecue. I just bought an umbrella with a concrete base—canny even trust global warming these days.

 

Comment on this Story

 

In order to post comments you must Register or Sign In

 
 
 
  

 
 

Today's Vote

Should Fort Kinnaird open its shops 24-hours a day over the Christmas period?
Yes, people are up at all hours these days
As long as nobody is forced to work those daft hours
No, what on earth do people think they’re doing shopping in the middle of the night?

Featured Advertising



Sister Newspapers:
Press Complaints Commission

This website and its associated newspaper adheres to the Press Complaints Commission’s Code of Practice. If you have a complaint about editorial content which relates to inaccuracy or intrusion, then contact the Editor by clicking here.

If you remain dissatisfied with the response provided then you can contact the PCC by clicking here.