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The Guardian - UK
The Guardian - UK
Business
Sarah Butler

Sun, sea and sales … Britain’s delayed summer arrives to thaw the retail chill

Three young women eating ice-cream cones on a street by the River Thames in London
Ice cream sales at Iceland have risen by 50% since the start of the current hot spell, its chief executive says. Photograph: Andy Rain/EPA

It’s been a second cruel summer in a row for retailers and the hospitality business, but a more prolonged spell of warmth – and the first cut in interest rates in more than four years – may finally heat up the market, if it’s not too late.

From Argos paddling pools and outdoor furniture at garden centres to Heineken beer and Unilever’s ice-cream brands, sales have been dampened by poor weather, which has added to the pressure from high interest rates and energy bills. Sales volumes were down in June and July in the UK, according to the latest CBI distributive trades survey, with retailers expecting more falls in August.

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