Food retail holding up well despite strong headwinds, says BRC boss

By David Shrimpton in Industry News 21st January 2022

Shopworkers deserve huge credit for ensuring that Christmas sales held up despite inflation and other problems, says the British Retail Consortium (BRC).

But customers face a difficult 2022, warned the BRC’s chief executive, Helen Dickinson.

Following the latest Office for National Statistics retail sales figures, which showed 5.3% year-on-year growth for November, she said: “The spread of Omicron may have slowed Christmas spending, but the perseverance of retailers helped deliver a successful Christmas for consumers.

“Retail workers pulled out all the stops to overcome supply chain issues, including an ongoing shortage of lorry drivers, to keep customers’ homes stocked with festive items.

“Growth in food outperformed non-food as many categories that had seen growth in November fell into decline, including furniture and household appliances.”

Dickinson added that this year will prove challenging with “strong headwinds”.

She said: “Rising inflation is reducing consumer demand while increasing the costs for businesses.

“Retailers face rising wage bills, increased transport costs and increased checks and documentation as a result of new import controls, all of which are forcing up prices at the checkout.”