UK total retail sales increased by 2.7% YoY in January, against a growth of 2.6% in January 2025, according to the latest BRC-KPMG Retail Sales Monitor. This was above the 12-month average growth of 2.3%.
Non-food sales increased by 1.7% YoY, against a growth of 2.5% the previous January, and above the 12-month average growth of 1.1%.
In-store non-food sales increased by 2.0%, and online non-food sales by 1.3% YoY. The online penetration rate for non-food items increased to 37.2%, from 35.7% in January 2025. Furniture as a category ranked sixth for online sales growth (up from ninth place last January).
Helen Dickinson, chief executive at the British Retail Consortium (BRC), says: “A drab December gave way to a brighter January as retail sales picked up pace. Many shoppers had held off Christmas spending and waited for the January sales, with the start of the new year showing the strongest growth. And bargain hunting was not limited to online, with in-store sales showing the highest growth in over six months."
Linda Ellett, UK head of Consumer, Retail & Leisure, KPMG, adds: “The year started well for the retail sector, with welcome sales growth. January sales enticed consumers to spend, with personal electronics, furniture, and children’s clothes and toys, all among the best-performing categories. New Year health and personal care goals led to related spending, including on wellness-focused food and drink items.
“Many retailers will be pleased that their promotional strategies worked in January, but they remain acutely aware of the challenge of consistently growing sales volumes when consumers continue to be cautious about, and savvy with, their spending.”
