Britain’s economy is showing growing signs of stress from the soaring cost of living amid a sharp fall in retail sales and the biggest loss of momentum for service sector activity since Omicron hit businesses at the end of last year. Figures showed that a bigger than expected decline in March retail sales was followed by a slowdown across the economy in April, with record inflationary pressures hitting businesses. The Office for National Statistics (ONS) said retail sales volumes in Great Britain dropped by 1.4% in March, after a decline of 0.5% a month earlier as shoppers adjusted to rising costs. Darren Morgan, a director of economic statistics at the ONS, said: “Retail sales fell back notably in March, with rises in the cost of living hitting consumers’ spending. The Bank of England has warned the measure for the rising cost of living could hit 10% later this year, the highest level since the early 1980s.

Source: The Guardian April 22, 2022 14:10 UTC