UK retail sales rebound 1.2% in May, beating forecasts

Macro
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UK retail sales volumes rose 1.2% month-on-month in May 2026, rebounding from a downwardly revised 1.0% decline in April and beating market expectations for a 0.5% increase. On a three-month basis, retail sales increased 0.4% compared with the three months to February. The result marked the strongest performance in four months, driven by a 6.1% surge in non-store retail sales volumes, the biggest increase since February 2025, pushing sales to their highest level since January 2022. Retailers said promotional campaigns and warmer weather boosted demand for seasonal products, including outdoor furniture and fans.

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