UK Retail Sales Rise 0.9% in June Amid Record Heatwave

UK retail sales experienced a modest rebound in June, growing by 0.9% following a steep 2.8% decline in May, as consumers took advantage of the warmest June on record and various live events. The increase was driven by higher sales in food stores, automotive fuel, and non-store retailers, although non-food store sales saw only a slight rise, partly due to lower footfall. Despite this recovery, the growth was below economists' forecasts and contributed minimally to the overall GDP, reflecting ongoing economic challenges including inflation and unemployment concerns. Analysts noted that much of the sales uplift was seasonal and promotional, with consumer confidence remaining fragile amid tighter budgets and uncertainty over the cost of living. The retail sector faces a delicate balance, as increased sales driven by weather and events may not signal sustained economic strength. Meanwhile, UK stock markets showed mixed reactions, with indices opening lower despite some corporate profit gains.