UK Homewares Sector Report summary
November 2021
Period covered: Period covered: 3 October – 30 October 2021
1 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.
Homewares Sales
Homewares sales fell 0.00% YoY in October, but remained 0.00% above 2019’s equivalent pre-pandemic levels, according to the Retail Economics Retail Sales Index.
Home-related categories are under pressure from tough annual sales comparisons, stock shortages and a cooling housing market following a flurry of house moves.
Online accounted for 0.00% of total Household Goods sales in October. The online penetration rate has been relatively stable at c.22% since June, suggesting that a new post-Covid equilibrium has been reached.
Tough consumer backdrop
Consumers are also bracing for a more challenging macro environment heading towards 2022, with pressure on personal finances starting to mount in October:
1) The Ofgem energy price cap rose 12% at the start of the month
2) The furlough scheme came to an end (30 September)
3) UK petrol prices are hovering at record highs
4) Increased expectations of interest rate rises before the end of the year
5) Inflation rose to its highest rate in a decade at 0.00% in October
Retail Economics’ latest consumer sentiment survey shows that inflation is the number one concern for consumers – ahead of Covid 19.
Housing market outlook
The UK housing market boom is tailing off, with demand moderating after a surge in activity over the past 18 months.
An estimated 0.00 residential transactions completed in October, 0.00% lower than the previous month and 0.00% lower than a year earlier.
The outlook remains somewhat uncertain, but Retail Economics expects housing market activity to remain…
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Residential property transactions drop sharply in October
Source: HMRC, Retail Economics
