The UK retail scene is setting the stage for a modern-day
enactment of Charles Dickens' 'A Christmas Carol,'
where the ghosts of Spending Past, Present, and Future lead the
narrative amidst a global economic crunch. As Scrooge was visited
by phantoms in the night, the retail market too faces its spectres
amidst the holiday lights, as revealed by industry data and our new
research, The Critical Consumer 2023.
In the narrative of Spending Past, market
experts have long echoed sentiments of belt-tightening, yet the
resilient consumers often engaged in year-end retail rallies.
UK spending forecast during the holiday period
(November-December) is projected to hit £131bn in retail
sales, marking a 4% rise on the same period last year – on
paper yet another rally. However, when you build inflation into
these numbers another tale unfolds – real-term volumes are
predicted to decrease by 4.1% (AlixPartners Analysis, ONS).
