Scottish sales rose in October but retailers still concerned, says SRC

Scottish sales have risen almost 2% compared with last year, according to new statistics, but concerns are still rising among retailers, a trade association director has said.

The Scottish Retail Consortium (SRC) KPMG Scottish Retail Sales found that total sales in Scotland increased by 1.9% compared with October 2024, when they had decreased by 0.7%.

Covering four weeks from October 5 to November 1, total food sales in Scotland increased by 2.7% compared with October 2024, when they had decreased by 1.2%.

Total non-food sales in Scotland increased by 1.3% compared with October 2024, when they had decreased by 0.3%.

Adjusted for the effect of online sales, non-food sales in Scotland increased by 1.2% compared with October 2024, when they had decreased by 0.1%.

David Lonsdale, director at the Scottish Retail Consortium, said the improvement in Scottish retail sales was a welcome improvement.

He said: “October saw a modest but welcome further improvement in Scottish retail sales, which edged up for a fourth consecutive month.

“This was the best monthly performance since April and an encouraging start to the golden quarter of trading, albeit to an extent was driven by shop price inflation rather than increased sales volumes.

“Homeware and furniture fared well, as did food and festive-related purchases of decorations and items such as wrapping paper.

“However, clothing retailers reported challenges selling winter clothing due to the variable weather, and Halloween-related purchases were so-so.

“Sales of electrical goods underwhelmed, perhaps reflecting consumers holding back in anticipation of Black Friday discounting.”

Mr Lonsdale said that while there has been an increase he is concerned about the current mood among Scotland’s retailers due to taxation and business rates.

He said: “With Christmas just around the corner we ought to be seeing a more confident mood amongst Scotland’s retailers.

“However, twin threats are to the fore.

“Firstly, consumer confidence remains shaky and won’t be helped by mooted increases in personal taxation which would lessen the amount people have available to spend in shops.

“The second threat is the risk of inaction on business rates.

“Wales and England are cutting business rates for shops permanently from April but there is an absence of any plan here in Scotland.

“Without a rates reduction for all retailers here in Scotland there could well be direct consequences for commercial investment and the state of our high streets, as destinations elsewhere in GB become considerably more attractive and cost-effective locations to invest in.”

The Scottish Government has been approached for comment.