UK DIY & Gardening Sector Report summary
December 2023
Period covered: Period covered: 29 October- 25 November 2023
3 minute read
Note: This report summary is one or two months behind the current month as standard reporting practice. The content is indicative only and incomplete with certain data undisclosed. Become a member to access this data or take out a free 30 day membership trial now.
DIY & Gardening Sales
DIY & Gardening sales fell 00% YoY in November according to the Retail Economics Retail Sales Index (value, non-seasonally adjusted).
ONS data shows the wider Household Goods category faced 00% YoY shop price inflation in October, pointing to a decline in sales volumes.
Indeed, sales volumes in the Household Goods category fell 00% YoY in the month, according to the ONS.
Tough macro backdrop
High living and borrowing costs, alongside a weak housing market, put downward pressure on DIY & Gardening sales in November.
Consumer price inflation eased to 3.9% YoY in November, down from 4.6% YoY in October. However, this was once again mainly driven by falling energy prices. Although food inflation fell to 9.2% YoY, it remains critically high and continues to curtail consumers’ discretionary incomes.
Nonetheless, easing inflation, combined with strong earnings growth and a slight fall in mortgage rates, pushed consumer confidence up in both November and December.
Indeed, GfK’s measure of confidence rebounded 8 points over the two months to a figure of -22 for December, while the major purchase index bounced back ten points in November and a further one point in December to -23.
While this points to increased optimism about the economy, the figures are still firmly in negative territory. Any impact on consumer spending will not be immediate, and the measure will experience further volatility in the months ahead.
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Significant headwinds in the housing market
Source: RICS
