UK retail sales plunge as soaring fuel prices force shoppers to make cuts
Retail sales in the UK fell at their fastest pace in almost a year in April as rising petrol and diesel prices hit fuel sales and demand for clothing fell, official figures show.
The Office for National Statistics (ONS) reported that total retail sales volume, which measures the amount of goods purchased, fell 1.3 per cent in the month.
This marked the biggest decline since May 2025 and represented a heavier decline than economists expected, who had predicted a 0.6 percent decline. It also compared with a slightly lower revised 0.6 percent increase in March.
Statisticians said the decline in overall volumes was linked to a particularly sharp decline in motor fuel sales, which fell by 10.2 percent in April. This decline was the largest decline in this category since November 2020.
Retailers claimed this decline was due to drivers making fewer trips and delaying filling up their vehicles due to higher prices.
This follows a surge in volumes in March as drivers stocked up following the outbreak of conflict in the Middle East.
Earlier this week, the price of petrol rose to 158.52 pence per liter, its highest level since the conflict began.
Since the war led to a rise in crude oil prices, gasoline has increased by 19.3 percent, while diesel has increased by 30.6 percent.
But retail sales volumes excluding fuel were still weak, down 0.4 percent for the month.
Weak sales from clothing retailers also hurt performance in April.
Clothing companies experienced a 2.4 percent decline due to “variable weather conditions during the month,” low demand and consumers reporting sensitivity to prices.
Non-store retailers, which mainly consist of online retail platforms, also declined this month due to weak demand.
Despite the latest monthly decline, sales volumes were still high in the quarter, up 0.5 per cent in the three months to April, the ONS said.
ONS chief economist Grant Fitzner said: “Retail sales rose in the three months to April, driven by strong and sustained sales in beauty shops as well as computer and technology stores.
“After strong growth last month, motor fuel sales fell in April, suggesting drivers are saving fuel after stocking up in March.
“These lower fuel purchases contributed to a large monthly decline in total retail sales in April.”
Harvir Dhillon, economist at the British Retail Consortium, said: “We are starting to see signs that concerns about the conflict in the Middle East and its impact on living costs are prompting shoppers to rein in their spending in many areas.
“Last month, fashion sales, especially from major retailers, performed poorly, partly due to bad weather conditions.
“After the rise in gasoline and diesel prices, consumers also maintained their fuel consumption.”
RSM UK Retail Manager Jacqui Baker said: “Consumers pulled back on spending in April as the Iran war continues to negatively impact confidence.
“The main silver lining was health and beauty, with shoppers indulging in small, feel-good luxuries to find relief from the current uncertainty and challenging economic outlook.”
