UK retail sales dip in February but Q1 holds up, with darker clouds ahead
By Bullbit Editorial · March 27, 2026
WhatUK retail sales declined by **0.4%** in February compared to the previous month.
WhyThe dip was largely driven by a decrease in non-food sales, particularly in clothing and footwear.
SignalDespite the February dip, Q1 retail sales held up, with a **2.1%** increase compared to the same period last year.
TargetAnalysts expect Q2 to be challenging, with inflation and interest rate hikes potentially weighing on consumer spending.
RiskThe UK economy faces increasing risks from a potential recession, with a **10%** chance of a downturn in the next 12 months, according to a recent survey.