UK retail sales tumble by most in over 40 years
- By Reuters -
- Apr 28, 2026
UK retailers reported the broadest year-on-year decline in sales in more than 40 years as the Iran war raised households’ inflation fears, a survey from the Confederation of UK Industry showed on Monday.
The CBI’s monthly retail sales volume measure dropped to -68 in April from -52 in March, its lowest reading since the series started in 1983, as 77% of firms reported sales were down compared with a year ago while only 9% reported an increase.
“Some retailers reported that weak consumer confidence was weighing on spending in April,” the employer organisation said.
Expectations for May also darkened, dropping to -60 from -49, the gloomiest outlook since March 2021 during the COVID-19 pandemic.
“With the economic impact of the Iran conflict becoming clearer, firms will be looking to government to recognise that easing cost of living pressures depends on tackling the cost of doing business,” CBI economist Martin Sartorius said.
The CBI called on the government to stop new employee rights legislation from boosting employers’ costs too much, reduce their property taxes and lower electricity bills.
The survey was based on response from 61 retail chains collected between March 26 and April 14.
The decline in the CBI figure was steeper than in other data since the US and Israel launched attacks on Iran on February 28, leading to the closure of the Strait of Hormuz, a major route for oil exports.
UK’s longest-running consumer confidence survey, from GfK, sank to its lowest since October 2023 this month while a CBI survey of manufacturers showed the lowest optimism since the start of the COVID pandemic.
Monday’s retail survey showed less of a decline in a related question – which asked retailers if sales were good, bad or normal for the time of year. That measure fell to -32 in April from -23 in March, and was last lower in June 2025.