ONS: September Retail Sales Fell 0.4%

The ONS has published retail sales data for September 2026.

The quantity of goods bought (volume) in retail sales is estimated to have risen by 0.7% in Quarter 3 (July to Sept) 2026, compared with Quarter 2 (Apr to June) 2026. Fuel sales rose following lower sales in Quarter 2, while warm weather helped sales of food and beverages in Quarter 3.

Retail sales volumes are estimated to have fallen by 0.4% in September 2026. This follows a rise of 0.7% in August 2026 (revised up from a 0.5% rise in our previous bulletin), and a fall of 0.4% in July 2026 (revised up from a 0.5% fall in our previous bulletin). Mail order retail sales fell in September 2026 as online clothing retailers suggested that sales of autumn and winter ranges were affected by the warmer weather. Supermarket sales also fell following growth in July and August 2026.

2) Retail sales in September 

Sales volumes rose over the three months to September 2026, while monthly volumes fell following a rise in August

In the three months to September 2026 (Quarter 3), sales volumes: 

• rose by 0.7% compared with the three months to June 2026 (Quarter 2) 

• rose by 1.5% compared with the three months to September 2025 (Quarter 3) 

In September 2026, sales volumes: 

• fell by 0.4% over the month, following a rise of 0.7% in August 2026 

• rose by 0.8% compared with September 2025

3) Retail sector volumes 

Sales volumes over the three months to September 2026 rose because of fuel sales and food stores

Sales volumes rose by 0.7% in Quarter 3 (July to Sept) 2026 compared with Quarter 2 (Apr to June) 2026. Fuel sales volumes fell in April as retailers suggested that motorists made fewer journeys and delayed filling their tanks as prices rose. Sales have since recovered gradually, with all three months of Quarter 3 2026 reporting higher volumes than all three months of Quarter 2 2026.

Food stores sales volumes rose on the quarter as supermarkets had increased sales in both July and August 2026. Retailers selling alcohol and beverages reported high sales volumes from June to September 2026. Increased sales were attributed by retailers to promotions, the warm weather, and the World Cup. Non-store retailers’ sales volumes also rose, after Quarter 2 was affected by lower sales in April 2026.

Total sales volumes (including automotive fuel) fell by 0.4% over the month to September 2026. Supermarket sales volumes in September 2026 fell to slightly below June sales volumes, following rises in July and August. The fall in September was partly because of lower-than-usual clothing sales.

Non-store retailers' sales volumes also fell following high sales volumes in August 2026. Online clothing retailers commented that the release of autumn and winter ranges in September 2026 did not perform well because of the unseasonably warm weather. The Met Office Weather and Climate summaries reported that 2026 had the joint-fourth warmest September on record.

Non-food stores sales volumes (the total of department, clothing, household, and other non-food stores) fell by 0.4% on the month. Clothing and footwear stores, alongside sports equipment stores (within other non-food stores) fell in September 2026, which retailers attributed to lower footfall and customers cutting back. Household goods stores also fell on the month, largely because of a decline in sales volumes for hardware retailers.

Against this trend, automotive fuel volumes rose on the month despite fuel prices continuing to rise. This followed a fall in August 2026, when retailers suggested motorists may be only partially filling their tanks in response to the renewed price increases.

4) Online retail values

• Online sales fell over the month and the three months to September 2026
  
  
• The amount spent online, known as “online spending values”, fell by 0.1% in Quarter 3 (July to Sept) 2026 compared with Quarter 2 (Apr to June) 2026. Online spending values rose by 7.4% compared with Quarter 3 2025.
  
  
• Within the monthly series, online sales values fell by 0.4% over the month to September 2026, down from a rise of 3.0% in August, but were 6.8% higher compared with September 2025.
  
  
• The total spend (the sum of in-store and online sales) rose by 0.3% over the month. As a result, the proportion of sales made online fell from 28.9% in August 2026 to 28.8% in September 2026.

Commentary

ONS

Responding to the latest ONS Retail Sales Index figures, Harvir Dhillon, Lead Economist at the British Retail Consortium, said: 

“The ONS retail sales figures show overall sales growth in September driven by smaller retailers, while activity for larger businesses was more subdued. While spending held up better in some areas such as health and beauty, sales of clothing & footwear fell due to the unseasonably warm weather. With consumer confidence wobbling, the Chancellor must use the Budget to give consumers and retailers the breathing space they need. The government has already ratcheted up retail’s tax bill by 20% in the last two years, putting yet more pressure on prices. Every extra penny in taxes and costs will be felt at the checkout. If the Government is serious about revitalising high streets and driving economic growth, it should freeze the business rates multiplier rather than allow April’s 3.5% inflationary increase to go ahead.”

Mail Metro Media

After a 0.7% rise in August, retail sales volumes fell by 0.4% in September, according to the latest ONS data. With the Golden Quarter now underway, retailers are facing growing challenges, but they're not the only ones feeling the pressure.

Affordability remains a major concern heading into the festive season. Mail Metro Media's latest Christmas Countdown research reveals that 34% of British shoppers are worried about being able to afford Christmas, up from 27% last year.

But that doesn't mean shoppers are giving up on Christmas spending:

• Instead, they're becoming more selective and strategic about when and where they shop, 
• 58% plan to buy Christmas gifts during Black Friday promotions  
• 46% are more reliant on retailer loyalty schemes.

For retailers, the challenge won't just be attracting shoppers, but offering the best value, in shops or online, while protecting already tight margins as competition for Christmas spending intensifies. 

View the full report here: Christmas Mail Metro Media report

Source : ONS

Image : William Barton / shutterstock / 1214614624

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