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Business

World Cup boosts retail sales but outlook is uncertain

By: KentOnline reporter multimediadesk@thekmgroup.co.uk

Published: 11:51, 29 June 2006

Malcolm Hyde

RETAILERS saw sales grow for a third month running in June, boosted by purchases related to the World Cup, according to the latest CBI Distributive Trades Survey.

While 34 per cent of retailers questioned reported sales as being down on a year ago, 43 per cent said sales were up. The figure is unchanged from May’s survey (+9%), which saw the fastest sales growth since December 2004.

It remains to be seen whether the better sales growth continues once the World Cup tournament is over.

Most retail sectors saw an improvement in sales, with the exception of booksellers and stationers, footwear and specialist foods, whose sales fell on the previous year.

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Malcolm Hyde, CBI South East regional director, said: "It is certainly encouraging that retailers’ sales have grown overall for a third month running and this bodes well for the next couple of months.

"Consumers’ purchases linked to the World Cup have lifted sales for some sectors. But not all sectors have benefited and the recent pick-up may prove to be short-lived once the England team returns home."

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