Fashion and department stores fuel UK retail growth

Fashion and department store brands helped the UK retail industry increase momentum during September, according to a new monthly report published by MasterCard.

John Lewis: department stores help fuel growth
John Lewis: department stores help fuel growth

MasterCard SpendingPulse is a "macro-economic indicator" based on a combination of the brand's aggregated sales activity as well as publicly-available surveys.

According to the report, the clothing and department stores sector saw a 7.6% year-on-year rise in sales over September. UK consumers also spent 8.3% more on petrol last month than in September 2009, although this is likely to be primarily due to price rises.

Other sectors to see a year-on-year increase in consumer spending in September include grocery retailers (up 3.0%) and furniture retailers (up 3.8%), while the travel industry saw 4.3% growth on the previous year.

Michael McNamara, vice president research and analysis for SpendingPulse, told Marketing that September saw a "generally improving environment" and that the payments brand sees "momentum building" in the economy.

McNamara said: "In general, the growth rates are an encouraging sign that the UK consumer economy is making progress."

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