Clothing and DIY boosted by sunny weather

Retail sales rose for the third month in a row in March as warmer weather helped boost demand for items such as clothing and DIY goods.

Sales volumes climbed 0.4% last month, the Office for National Statistics said, with the sunshine helping a variety of sectors.

However, the ONS said it was another poor month for food sales, particularly at supermarkets.

Analysts also warned that the recent run of sales increases might be about to come to an end after a separate survey suggested consumer confidence fell in April.

The latest retail sales figures were stronger than expected, with analysts having predicted a 0.4% fall in March.

The increase last month means that across the January to March quarter, sales volumes were up 1.6% compared with the previous quarter, which the ONS said was the biggest increase for nearly four years.

The sunny weather in March helped sales at garden centres, which reported “robust trading”, the ONS said.

Sales at non-food stores rose by 1.7% over the month, but this was partly offset by food store sales volumes falling 1.3%.

However, analysts warned that sales may not grow as quickly in the months ahead after a survey suggested there had been a sharp drop in consumer confidence in April.

Market research firm GfK said confidence fell this month to its lowest level since November 2023, as people faced rising bills and became more pessimistic about the prospects for the economy.

“Consumers have not only been grappling with multiple April cost increases in the form of utilities, council tax, stamp duty, and road tax, but they are also hearing dire warnings of renewed high inflation on the back of the Trump tariffs,” said Neil Bellamy, consumer insights director at GfK.

Alex Kerr, UK economist at Capital Economics, said the sales performance in March “may be as bright as it gets”.

“March’s rise was largely due to unusually sunny weather and the drop in consumer confidence in April after the US tariff chaos suggests that households may start to spend more cautiously in the coming months,” he said.