Online sales growth is weakening, with August seeing a large
drop in year-on-year growth compared to previous months.
Internet retail sales are still growing faster than the high
street with a year-on-year growth rate of 7.9% in August, compared
to a 0.1% high street decline. But the rate of growth has slowed
dramatically from December last year, which saw
growth of 30%.
The figures also show a drop from July this year, when online
sales grew 20%.
The British Retail Consortium, which released the figures, said
sales in June and July were boosted by good weather and clearance
sales, but they dropped in August when these ended.
Sharon Hardiman, head of non-store retailing, said: "This is the
second-weakest growth we've recorded in the 11 months this measure
has been running, and well down on July's figure. Customers are
pulling back and it's clear the stronger sales of previous months
were driven by seasonal factors and promotions - not any widespread
return of consumer confidence."
The British Retail Consortium noted that while online sales
continue to outperform store sales, the expansion is from a very
low base - internet sales still only account for about 4% of total
retail sales.