The Confederation of British Industry (CBI) announced on Thursday its
latest survey of retailers revealed that retail sales volume balance climbed to
+28 in the year to January from +8 in the previous month.
Economists had expected the reading to increase to +13.
The report also revealed that retail sales volumes were anticipated to
grow at a slightly softer pace next month (+24). Nonetheless, sales in January
were seen by retail firms as poor for the time of year (-23, down from -2 in December)
and were forecast to stay below seasonal norms next month (-17). In other
survey results, stocks in relation to expected sales were estimated as too low
in January (-11, down from +20 in December), and they were expected to remain
so next month (-4). The pace of growth of orders placed upon suppliers weakened
steeply in the year to January (+17, down from +55 in December) but was
forecast to improve next month (+28).
Commenting on the latest survey, CBI lead economist Ben Jones noted that
the fact the retail sales again declined below seasonal norms in January was
not a surprise, as the spread of the Omicron coronavirus variant triggered the
reimposition of restrictions late last year and heightened consumer caution.