According to the Workplace for National Statistics
- Automotive fuel sales rose 3.2% in March.
- Non-food shops sales increased by 0.5%
- Outlet store sales moved by 3.8%.
- Grocery store sales volumes decreased by 0.7% in March.
- Non-store selling fell by 1.5%.
Retail sales volumes increased by 1.9% in the 3 months leading up to March compared to the previous 3 months. Retail sales were up 0.8% year-on-year in March however stayed 1.2% listed below pre-pandemic levels (February 2020).
Bank of England Monetary Policy Implications
Retail sales figures for March lined up with remarks from Bank of England Governor Andrew Bailey.
The retail sales report followed the UK inflation numbers for March. Regardless of the hotter-than-expected inflation numbers, Bank of England Governor Andrew Bailey revealed the UK stays on track to tame inflation.
Belief throughout the Monetary Policy Committee is combined. MPC member Sarah Greene spoke on Thursday, stating that UK services inflation and wage development stayed expensive to validate a rate of interest cut.
GBP/USD Reaction to the UK Retail Sales Numbers
Before the UK retail sales figures, the GBP/USD increased to a high of $1.24392 before being up to a low of $1.23883.