UK Retail Economic Briefing Report summary
June 2022
Period covered: Period covered: May 2022
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.
Economic activity
UK GDP fell by 00% MoM in April, missing expectations of 0.1% growth. The figures underscore a deteriorating outlook for the UK economy, with all three main sectors contracting together for the first time since lockdown in January last year (Services: -00%, Production: -00%, Construction: -00%).
OBR now forecast the UK economy to grow 00% over 2022, down from 6.0% growth previously, reflecting greater macro uncertainty and higher inflation.
Confidence
GfK’s Consumer Confidence barometer sank to a new record low in June, dropping 00 point to -00.
Four out of five measures were down, with only the major purchases index remaining flat.
Business confidence fell to a fifteen-month low in June, dropping 10 points to 00%. Although this is in line with long-run averages.
Inflation
The headline inflation rate edged higher in May to 00 % YoY, remaining at a 40-year high - in line with economists’ forecasts.
Producer Price Index data suggests there are more price rises in the pipeline. Factory gate inflation (output prices) accelerated to a 45-year high in May, rising to 00% from 14.0% last month.
The Retail Economics Cost of Living Tracker shows that discretionary income (money left over after paying for essentials) for the average household fell 00% YoY in May, compared to 3.2% for the most affluent.
Credit and Housing Market
The latest data shows that the housing market continues to…
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Inflation at 40-year high
Source: ONS, Retail Economics