Scottish retail sales fell back sharply in March as cautious consumers reined in spending, despite hopes that an earlier Easter would give the sector a lift.
Total sales in Scotland declined by 1.3 per cent year on year over the five weeks from 1 March to 4 April 2026, according to the latest figures.
That compared with growth of 0.3 per cent in March 2025 and sat below both the three-month average increase of 0.5 per cent and the 12-month average rise of 0.9 per cent.
Once adjusted for inflation, the picture was even weaker, with total sales down 2.5 per cent in real terms.
Food sales provided only limited relief. Total food sales in Scotland rose by 0.6 per cent year on year, improving on the 1.5 per cent decline recorded in March last year.
However, that was still below the three-month average growth rate of 1.2 per cent, though ahead of the 12-month average increase of 0.5 per cent.
Non-food sales remained under significant pressure. Total non-food sales dropped 2.8 per cent compared with March 2025, reversing growth of 1.7 per cent a year earlier.
That was below the three-month average decline of 0.1 per cent and well short of the 12-month average increase of 1.1 per cent.
Adjusted for the effect of online sales, non-food sales fell by three per cent year on year, compared with growth of two per cent in the same period last year.
Scottish Retail Consortium deputy head Ewan MacDonald-Russell said the figures reflected growing consumer unease and mounting financial pressure on both households and retailers.
“Scottish shoppers cut back on spending as worries about the impact of the Middle East crisis saw retail sales plummet in real terms by 2.5 per cent in March,” he said.
“The figures are a blow for hard-pressed retailers who hoped Easter coming earlier in this year would lead to a bounce. Instead, despite decent footfall, sales fell across most categories as concerns about energy prices and possible inflation deterred spending.”
MacDonald-Russell said there were “a few bright spots amidst the gloom”, with computing and toy sales proving more resilient. Fashion and footwear, however, continued to struggle, adding further pressure to already challenged high streets.
“As Scotland’s politicians canvass for votes these figures are a stark reminder of the enormous pressure on households and businesses,” he added.
“It’s vital the parties recognise the immense costs already impacting consumers and industry and that the next devolved government doesn’t compound the costs crunch they face.”
KPMG UK head of consumer, retail and leisure Linda Ellett said the disappointing performance marked the second consecutive month of weak retail sales in Scotland.
“Retail sales disappointed for a second month in a row in Scotland, with consumer spending caution further heightened by the current and potential impact of the Middle East conflict,” she said.
“But, despite this challenging trading landscape, monthly examples of category sales growth remain.
“While margins remain under pressure on a number of fronts, retailers need to continue to focus on their month-to-month pricing and promotions, their supply chain resilience and delivering the technological transformation needed to set the foundations for growth.”
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