BRC reports worst retail month in 16 years

The British Retail Consortium (BRC) has revealed the biggest sales drop in its history. BRC said total sales for March were down 1.9% from a year ago, the steepest decline since it began its monthly survey in 1995.

The trade association said the early timing of Easter last year had a major impact on the figures. “Mounting fuel and utility costs, falling house prices, higher VAT and the prospect of more tax rises and job losses left people unwilling to spend unless they really had to,” says BRC director Stephen Robertson.

“These pressures aren’t going away and the arrival of higher National Insurance is likely to compound them in the immediate future.” Warning that weaker retailers will not survive if spending does not pick up soon, the BRC, however, confirmed that high ticket items would be hit the hardest and that fierce supermarket competition is keeping shop prices down, and making the main contribution to keeping the overall Consumer Price Index down.