(MENAFN - ING) With the UK back under lockdown, it'll come as little surprise that retail sales plunged.
That said, the 8.2% fall was considerably higher than we'd expected (around 4%), and provides clear evidence that the hit to consumer spending is noticeably larger than it was during the November restrictions. In all likelihood, these latest restrictions have amplified what is already typically a quiet time for retailers.
Still, it's worth putting this into some context. Unlike the wider economy, the retail sector was already operating comfortably above pre-virus levels. While savings levels rose last year, it's also clear that consumers spend some of the money amassed on buying more goods. Unsurprisingly this heavily benefitted online retailers. The pandemic has triggered an abrupt switch to online retail