Great Britain retail sales had increase last month due to panic shopping of motorists who purchased fuel due to the increasing price caused by the Iran war.
Retail sales volumes increased by 0.7%, surpassing the forecast of 0.1% set by experts based on ONS data.
The significant increment in fuel sales volume is attributed to an 11.6% increase in fuel expenditure, which is the largest month-on-month increase since December 2021.
This is due to a sharp increase in international oil prices after disruption in the Middle East’s oil transportation through the Strait of Hormuz due to the Iran war.
Read Related News Update
FG urges Airlines to avert shutdown amid fuel crisis
Yayi urges unity in Ogun West, pledges support for Tinubu
I had limited role in oil contract approvals — Ex-minister Madueke tells UK court
Panic buying by motorists is seen as a strategy to avoid escalating prices and shortages at the filling stations, according to experts.
It should be noted that while oil prices decreased after the ceasefire in April, prices at the pumps have not fallen accordingly.
With fuel excluded, total retail sales grew only slightly, by 0.2%, as the February dip was reversed.
The warm weather has boosted purchases from clothing and department stores but has led to a decline in supermarkets’ sales.
Even with the temporary upturn in numbers, there is an increasing worry about the effect this may have on the economy.
There is a drop in consumer confidence levels, coupled with increasing business costs due to rising energy prices.
There is concern among economists that although rising fuel prices have increased retail sales temporarily, such pressures may eventually affect both consumers and retailers.
For More News Details, Visit New Daily Prime
