Retail sales in Great Britain rose by 0.4% in December, driven by online shopping

Retail sales in Great Britain recorded a surprising increase of 0.4% in December, according to data from the Office for National Statistics (ONS). This is the first expansion since September and comes in a weak economic context for retailers. Economists had anticipated a decrease of 0.1%, making the increase all the more notable. Consumer confidence rose to its highest level since August 2024, suggesting a better perception of personal finances.

Although retail sales fell by 0.3% in the entire fourth quarter, recent data suggests better economic resilience than anticipated. The tough budget from Finance Minister Rachel Reeves has not generated the greatest fears, indicating a better state for the British consumer. However, economic prospects are influenced by political risks, especially with the upcoming local elections. Additionally, demand for precious metals increased in December, and total sales were 2.5% higher compared to the previous year. Major retailers remain cautious regarding estimates for 2026, with varied performance in the sector.