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Retail sales show worrying signs for UK economy

UK retail sales were weaker than expected in December

Eleanor Ross
Monday 21 December 2015 13:48 EST
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The high street is expecting a bumpy new year
The high street is expecting a bumpy new year (Getty Images)

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Early Christmas sales forecasts have prompted fears of trouble ahead for the UK's retail sector.

The traditional January sales now start well before the New Year as stores attempt to reignite shopper’s interest.

But Retail analyst Richard Hyman told the Guardian this year has been the most challenging for the retail sector in more than 35 years, despite prices falling consistently as discounters slash prices to attract customers.

He said many shops will shut in the New Year after a "lacklustre" Christmas.

"There’s a lot of zombie-looking, ailing retailers that are not long for this world," he told the newspaper.

Consumer lobby group CBI reported that the outlook for the January sales was not strong.

According to information shared with the BBC, the CBI said that 2015 had been a tough year for retailers - with their survey showing the weakest expectations for business among retailers since May 2012.

On a more positive note, the CBI recorded that there was a rise in the balance of retailers reporting better sales in December than in November, but it still fell short of what was expected by economists.

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