UK September retail sales are up, but underlying weakness persists

UK September retail sales growth, in volumes, accelerated to 1.9% m/m from -0.4% m/m in August, with the previous numbers revised downward by 0.6pp. Retail sales prices dipped further across all sectors, falling by 0.5pp from -3.2% y/y in August. 

While the print is a positive surprise, it is temporary, with anecdotal evidence from the ONS pointing to much of it arising from the Rugby World Cup, thus, it is likely to create volatility. 

"The Rugby World Cup spans September and October and, as such, may artificially lift October's print, too. Of concern, however, is that the September 3mma/3mma figure is only marginally above its August print, indicating that had the Rugby World Cup not been hosted in the UK, trend weakness would have worsened", says Barclays.