Greater numbers of consumers went shopping last month as spring sunshine brought welcome relief to retailers, which have faced a squeeze on spending since the US-Israel war on Iran. Figures from the British Retail Consortium (BRC) and a separate survey by BDO showed a bounce-back in footfall during May, reversing a sharp decline in April.
The recovery coincided with consumer confidence surveys showing a rise in May as shoppers began to get over the sharp rise in petrol and diesel prices linked to the Middle East conflict. BDO said total sales on the high street grew by 3.4% from the same month in 2025. The BRC recorded a 2.6% decline in footfall in May from last year, a marked improvement on the 10.7% slump in April.
High streets fared best, with a decline of just 1.7%, while shopping centres fell by 2.4%. Helen Dickinson, chief executive of the BRC, said soaring temperatures in the last week of May deterred many shoppers, ending hopes of a positive footfall figure. “Only high streets bucked the trend, as those who were out and about took the opportunity to pop into their local stores,” she added.
A YouGov and Cebr poll found consumer confidence rose by the most since 2021, with its index up 2.6 points to 104.9. YouGov said the more optimistic mood reflected improving perceptions of household finances and house prices. The figures are the latest indicator that the UK economy is not faring as badly as feared at the start of the war.
This week, the OECD predicted UK economic growth of 0.9% this year, up from 0.7% in March. However, unemployment has risen to 5% and energy bills are expected to increase sharply later in the year. Sophie Michael, head of retail at BDO, warned that uncertainty from the conflict and rising energy prices may offset any temporary boost from summer events, saying retailers “must brace themselves for further challenges ahead.”
