Latest news with #RetailEconomics
Fibre2Fashion
4 hours ago
- Business
- Fibre2Fashion
Cyber security, operational, financial risks priority for UK retailers
Cyber and data security is cited as the biggest risk across the UK retail sector at present, followed by operational and financial risks, according to a study by Barclays Corporate Banking and Retail Economics. 'Cyberattacks have been top of the agenda for retail boardrooms across the UK in recent weeks, and our research shows that just one in four retailers feel "highly prepared" to detect, respond to, and recover from a major cyber incident,' Richard Lim, chief executive of Retail Economics, said in a post on microblogging platform X. 'Against the backdrop of tariff uncertainty, geopolitical instability and pressure on profitability, this year's report also shows that risks have become more widespread,' he wrote. Cyber and data security is cited as the biggest risk across the UK retail sector, followed by operational and financial risks, a study by Barclays Corporate Banking and Retail Economics found. Fifty-eight per cent of respondents placed cyber resilience among their top three concerns, while 11 per cent admitted they are unprepared for cyberattacks. Cost control has become a sharper strategic focus. Fifty-eight per cent of respondents placed cyber resilience among their top three concerns. Resilience to cyber threats requires proactive investment, from infrastructure upgrades and supply chain security to regular stress-testing and board-level ownership of response protocols, he noted. Eleven per cent of surveyed retailers admitted they remain unprepared for cyberattacks, exposing serious vulnerabilities at a time when digital infrastructure is critical to operations, trust and continuity. Sixty-four per cent of retailers have increased their focus on cybersecurity over the past 12 months—from upgrading systems and stress-testing response plans to embedding security across supply chains, Lim wrote. 'The number of principal risks disclosed by the UK's top 30 listed retailers has risen to 278, with 40 new or escalating risks in the past year alone. Of these, cyber-related risks account for a high quarter (25 per cent) of this increase,' he mentioned. Financial pressure remains a close top concern for 2025-26 as well, with 55 per cent of respondents placing financial strength among their top three concerns. Financial resilience has emerged as the most commonly selected first-choice priority (23 per cent) as retailers manage a fresh wave of cost increases. UK retailers are set to face a £6.5-billion rise in operating costs in 2025, driven by increases to the National Living Wage, Employer National Insurance contributions, business rates, utilities and property costs. Over the past decade, average pre-tax profit margins have almost halved—from 10.4 per cent in 2014 to just 5.7 per cent in 2024. Despite a decade of inflation, this translates into a fall of over £7.3 billion in pre-tax profits across the sector from £32.7 billion to £25.4 billion. 'It means cost control has become a sharper strategic focus—yet many retailers are balancing defensive measures with forward-looking investment in technology, data, and supply chain resilience,' Lim added. Fifty-seven per cent of respondents placed operational agility among the top three concerns. Trade tensions continue to test supply chains, while artificial intelligence and digital transformation present major opportunities, but only for businesses with the skills and agility to respond, according to the report. Fibre2Fashion News Desk (DS)
South Wales Guardian
a day ago
- Business
- South Wales Guardian
UK retail sales slump in May after ‘dismal' month for supermarkets
Food shops faced the biggest drop in monthly spending in four years. The Office for National Statistics said the total volume of retail sales fell by 2.7% in May. This compared with a 1.3% rise in April, which was revised up from a previous estimate of 1.2% for the month. May's overall retail sales came in considerably below the 0.7% decline that most economists had been expecting for the month. It was also the biggest monthly fall since December 2023. The ONS said it was a 'dismal' month for supermarkets with food sales falling sharply after a jump in April. ONS senior statistician Hannah Finselbach said: 'Retail sales fell sharply in May with their largest monthly fall since the end of 2023. 'This was mainly due to a dismal month for food retailers, especially supermarkets, following strong sales in April. 'Feedback suggested reduced purchases for alcohol and tobacco with customers choosing to make cutbacks.' The volume of sales in food stores dropped by 5% in May – the largest monthly fall since May 2021. This was mainly because of people buying less in supermarkets, with retailers citing inflation and customers making cutbacks, the ONS said. It comes amid rising food inflation across the UK, with the price of items such as chocolate, coffee, cheese and meat spiking last month. The monthly decline for household goods was 2.5%, and for clothing and footwear shops it was 1.8%. Ms Finselbach added that clothing and homeware stores were reporting reduced footfall in May. Retail sales fell across all sectors in May 2025. This was the largest monthly fall since December 2023. Retail sales volumes have fallen 2.7% in May 2025, following a rise of 1.3% in April 2025 (revised up from 1.2%). Read more ➡️ — Office for National Statistics (ONS) (@ONS) June 20, 2025 A drop in demand for DIY items last month came after sunny weather in April boosted home improvement projects. Some electricals sold well in May, which experts linked to strong pre-sales before the launch of the Nintendo Switch 2. Despite May's decline, retail sales volumes rose by 0.8% across the three months to May, compared with the three months to February. Nicholas Found, head of commercial content at research consultancy Retail Economics, said: 'May's retail performance underlines a shift in consumer behaviour, with households putting value at the centre of spending decisions and pulling back on non-essential purchases. 'The cost of living remains the dominant concern for households. 'Households are deferring spending on full-price fashion, big ticket home items and other discretionary goods, instead prioritising travel and experiences into the summer.'
Leader Live
a day ago
- Business
- Leader Live
UK retail sales slump in May after ‘dismal' month for supermarkets
Food shops faced the biggest drop in monthly spending in four years. The Office for National Statistics said the total volume of retail sales fell by 2.7% in May. This compared with a 1.3% rise in April, which was revised up from a previous estimate of 1.2% for the month. May's overall retail sales came in considerably below the 0.7% decline that most economists had been expecting for the month. It was also the biggest monthly fall since December 2023. The ONS said it was a 'dismal' month for supermarkets with food sales falling sharply after a jump in April. ONS senior statistician Hannah Finselbach said: 'Retail sales fell sharply in May with their largest monthly fall since the end of 2023. 'This was mainly due to a dismal month for food retailers, especially supermarkets, following strong sales in April. Retail sales fell across all sectors in May 2025. This was the largest monthly fall since December 2023. Retail sales volumes have fallen 2.7% in May 2025, following a rise of 1.3% in April 2025 (revised up from 1.2%). Read more ➡️ — Office for National Statistics (ONS) (@ONS) June 20, 2025 'Feedback suggested reduced purchases for alcohol and tobacco with customers choosing to make cutbacks.' The volume of sales in food stores dropped by 5% in May – the largest monthly fall since May 2021. This was mainly because of people buying less in supermarkets, with retailers citing inflation and customers making cutbacks, the ONS said. It comes amid rising food inflation across the UK, with the price of items such as chocolate, coffee, cheese and meat spiking last month. The monthly decline for household goods was 2.5%, and for clothing and footwear shops it was 1.8%. Ms Finselbach added that clothing and homeware stores were reporting reduced footfall in May. A drop in demand for DIY items last month came after sunny weather in April boosted home improvement projects. Some electricals sold well in May, which experts linked to strong pre-sales before the launch of the Nintendo Switch 2. Despite May's decline, retail sales volumes rose by 0.8% across the three months to May, compared with the three months to February. Nicholas Found, head of commercial content at research consultancy Retail Economics, said: 'May's retail performance underlines a shift in consumer behaviour, with households putting value at the centre of spending decisions and pulling back on non-essential purchases. 'The cost of living remains the dominant concern for households. 'Households are deferring spending on full-price fashion, big ticket home items and other discretionary goods, instead prioritising travel and experiences into the summer.'
North Wales Chronicle
a day ago
- Business
- North Wales Chronicle
UK retail sales slump in May after ‘dismal' month for supermarkets
Food shops faced the biggest drop in monthly spending in four years. The Office for National Statistics said the total volume of retail sales fell by 2.7% in May. This compared with a 1.3% rise in April, which was revised up from a previous estimate of 1.2% for the month. May's overall retail sales came in considerably below the 0.7% decline that most economists had been expecting for the month. It was also the biggest monthly fall since December 2023. The ONS said it was a 'dismal' month for supermarkets with food sales falling sharply after a jump in April. ONS senior statistician Hannah Finselbach said: 'Retail sales fell sharply in May with their largest monthly fall since the end of 2023. 'This was mainly due to a dismal month for food retailers, especially supermarkets, following strong sales in April. Retail sales fell across all sectors in May 2025. This was the largest monthly fall since December 2023. Retail sales volumes have fallen 2.7% in May 2025, following a rise of 1.3% in April 2025 (revised up from 1.2%). Read more ➡️ — Office for National Statistics (ONS) (@ONS) June 20, 2025 'Feedback suggested reduced purchases for alcohol and tobacco with customers choosing to make cutbacks.' The volume of sales in food stores dropped by 5% in May – the largest monthly fall since May 2021. This was mainly because of people buying less in supermarkets, with retailers citing inflation and customers making cutbacks, the ONS said. It comes amid rising food inflation across the UK, with the price of items such as chocolate, coffee, cheese and meat spiking last month. The monthly decline for household goods was 2.5%, and for clothing and footwear shops it was 1.8%. Ms Finselbach added that clothing and homeware stores were reporting reduced footfall in May. A drop in demand for DIY items last month came after sunny weather in April boosted home improvement projects. Some electricals sold well in May, which experts linked to strong pre-sales before the launch of the Nintendo Switch 2. Despite May's decline, retail sales volumes rose by 0.8% across the three months to May, compared with the three months to February. Nicholas Found, head of commercial content at research consultancy Retail Economics, said: 'May's retail performance underlines a shift in consumer behaviour, with households putting value at the centre of spending decisions and pulling back on non-essential purchases. 'The cost of living remains the dominant concern for households. 'Households are deferring spending on full-price fashion, big ticket home items and other discretionary goods, instead prioritising travel and experiences into the summer.'
South Wales Argus
a day ago
- Business
- South Wales Argus
UK retail sales slump in May after ‘dismal' month for supermarkets
Food shops faced the biggest drop in monthly spending in four years. The Office for National Statistics said the total volume of retail sales fell by 2.7% in May. This compared with a 1.3% rise in April, which was revised up from a previous estimate of 1.2% for the month. May's overall retail sales came in considerably below the 0.7% decline that most economists had been expecting for the month. It was also the biggest monthly fall since December 2023. The ONS said it was a 'dismal' month for supermarkets with food sales falling sharply after a jump in April. ONS senior statistician Hannah Finselbach said: 'Retail sales fell sharply in May with their largest monthly fall since the end of 2023. 'This was mainly due to a dismal month for food retailers, especially supermarkets, following strong sales in April. Retail sales fell across all sectors in May 2025. This was the largest monthly fall since December 2023. Retail sales volumes have fallen 2.7% in May 2025, following a rise of 1.3% in April 2025 (revised up from 1.2%). Read more ➡️ — Office for National Statistics (ONS) (@ONS) June 20, 2025 'Feedback suggested reduced purchases for alcohol and tobacco with customers choosing to make cutbacks.' The volume of sales in food stores dropped by 5% in May – the largest monthly fall since May 2021. This was mainly because of people buying less in supermarkets, with retailers citing inflation and customers making cutbacks, the ONS said. It comes amid rising food inflation across the UK, with the price of items such as chocolate, coffee, cheese and meat spiking last month. The monthly decline for household goods was 2.5%, and for clothing and footwear shops it was 1.8%. Ms Finselbach added that clothing and homeware stores were reporting reduced footfall in May. A drop in demand for DIY items last month came after sunny weather in April boosted home improvement projects. Some electricals sold well in May, which experts linked to strong pre-sales before the launch of the Nintendo Switch 2. Despite May's decline, retail sales volumes rose by 0.8% across the three months to May, compared with the three months to February. Nicholas Found, head of commercial content at research consultancy Retail Economics, said: 'May's retail performance underlines a shift in consumer behaviour, with households putting value at the centre of spending decisions and pulling back on non-essential purchases. 'The cost of living remains the dominant concern for households. 'Households are deferring spending on full-price fashion, big ticket home items and other discretionary goods, instead prioritising travel and experiences into the summer.'
