MNI DATA ANALYSIS: UK Jan Retail Up Slightly; Food Sales Down>

-UK Jan total sales +0.1% m/m, +1.6% y/y

-UK Jan non-fuel sales +0.1% m/m, +1.5% y/y

     By Laurie Laird and Jamie Satchithanantham 

     LONDON (MNI) - Retail activity rose only modestly in January, 

failing to rebound from a December plunge, with supermarket sales 

accounting for much of the weakness. 

     Sales volumes rose by 0.1% between December and January, falling 

short of the median MNI median forecast of a 0.3% increase. 

     On an annual basis, retail sales increased by 1.6%, while retail 

volumes rose by just 0.1% the three months to January, the slowest 

growth since April of last year.  

     Supermarket sales slumped by 1.0% in the month of January, 

according to a National Statistics official, although transactions at 

specialised food stores, such as butchers and bakeries, increased on the 

month, according to the official.    

     December sales were revised to show a 1.4% loss, better than the 

originally reported 1.5% plunge. That leaves fourth quarter sales 0.5% 

above their level of the third quarter, up from the 0.4% gain reported 

last month. Retail sales are poised to add 0.03 percentage points to 

fourth quarter gross domestic product.  

     The implied price deflator rose by 2.8% in the year to January, the 

fifteenth straight increase, but the smallest increase since July. 

Supermarket prices jumped by an annual rate of 3.3%, down from 3.6% in 

December and November. 

     December non-fuel sales were also slightly stronger than originally 

reported, falling by a revised 1.5% from November and by 1.3% over 

December of 2016. Excluding fuel, sales growth was originally reported 

as down 1.6% between November and December and up 1.3% over the final 

month of 2016. 

     Over the year to January, internet sales rose by 9.1% in value 

terms to a seasonally-adjusted 16.5% of all sales, down from a 

record-high 17.0% in December. 

-London bureau: 44 (0) 203 865 3812; email: ukeditorial@marketnews.com

[TOPICS: M$B$$$,MABDS$]