Clothing stores rebounded in spending last month, with sales up by 2.3%

However, fuel sales dragged the overall figure down, with volumes falling by 1.2%. According to retailers, the sharp increase in petrol and diesel prices during the month reduced spending.

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Senior ONS statistician Heather Bovill said: “Retail recovered a little from the large fall seen in July, driven by a partial bounce back in food and a strong month for clothing, though sales overall remain subdued.

“These were partially offset by internet sales, which dropped slightly as some people returned to shopping in person following a very wet July.

“Fuel sales also fell, with increased prices hitting demand.”

Deloitte head of retail Oliver Vernon-Harcourt said: “Retail sales in August rebounded following a disappointing July, as falling inflation and an uplift in consumer confidence boosted spending.

“The macroeconomic situation continues to improve and consumers are more optimistic. However, the high price of essentials due to persistent food inflation remains a heavy weight on consumer spending.

“Looking ahead, retailers will need to prioritise having good availability and effective promotions to maintain consistent sales growth. For consumer businesses leaders, it will be a balancing act between sticky inflation, peaking interest rates and a tight labour market, so caution is needed.”

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