In May, UK retail sales rose by 3.7% year-on-year, the largest increase since April 2025, largely driven by favorable weather conditions and the early May bank holiday. This growth reversed a 3.0% decline in April and was supported by a 3.4% rise in like-for-like sales. The British Retail Consortium (BRC) noted that food sales increased by 3.9% and non-food sales by 3.5%. However, despite this positive trend, consumer spending reported by Barclays only grew by 0.8%, remaining below the 3% inflation rate, indicating ongoing pressure on household budgets. Travel spending, in contrast, fell for the third consecutive month, down 5.8%, with airline spending dropping 12.9% year-on-year. This decline reflects consumer caution linked to geopolitical uncertainties, particularly regarding the Iran conflict, with many respondents indicating they are adjusting their finances due to economic concerns. BRC chief executive Helen Dickinson attributed much of the retail growth to the heatwave, which spurred demand for summer clothing and outdoor goods, as well as increased food sales related to bank holiday barbecues.