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UK retail sales to remain firm after the election

Monday, July 20, 2015 4:32 AM UTC

UK inflation remains around zero and earnings growth is picking up, resulting in rising real incomes.

The fundamental drivers of UK consumption are getting stronger.

Moreover consumer confidence reached cycle highs following the surprise Conservative victory in the May General Election. This bodes well for retail sales and both retail surveys corroborate this story with strong readings in June.

"Accordingly a third consecutive month of growth is expected in sales with an increase of 0.2% mom", forecasts Societe Generale.

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UK retail sales to remain firm after the election

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