Inflation is set to add £18.2 billion to UK non-food retail sales this year, a report suggests. Sales values are expected to hit £249 billion in 2023, but the 2.6% increase – or an additional £18.2 billion of spending on last year – will be driven entirely by rising consumer prices, according to the Ecommerce Delivery Benchmark Report by Auctane and the consultancy Retail Economics.
A survey for the study of more than 730 retail businesses across eight international markets found that 80% of retailers are planning to increase the price of products, with 40% suggesting rising costs will be their biggest challenge this year.
Some two thirds of UK consumers (66%) say inflation is their biggest concern, Retail Economics found. Some 74% plan to change their buying behaviour, with 34% saying they would only make necessary purchases while 29% intend to delay or reduce spending.
