UK Retail Sales Grow in August - Clear Sign of Economic Recovery

In one of the most promising signals to suggest a UK economic recovery, the office for National statistics today revealed that the value of retail sales in August this year, was 1.6% higher than in August last year, the volume of retail sales was 2.6% higher.

The figures were very similar to last month, in fact the volume of retail sales was exactly the same in August as it was in July, the value of sales dropped just 0.1%. On a three monthly basis the value of retail sales was 0.8% higher in the three months ending August compared to the previous three months, and the volume of sales grew 1.2%.

While growth in retail sales is a clear indication of economic recovery, few people are denying that the UK economy is currently recovering. The question is whether retail sales and consumer spending continue to grow after the government starts to wind up its stimulus programmes. Time will tell.

View the full ONS release here: http://www.statistics.gov.uk/pdfdir/rs0909.pdf (PDF)