Thursday, November 18, 2010
Volume and value
Posted by David Smith at 06:00 PM
Category: Thoughts and responses

Despite a 0.5% rise in October, Britain's high streets are not having a great time. Sales volume in October was 0.1% down on October 2009. There's been no growth in sales volume over the past year. This is contrast to the period when the economy was in recession. In October 2009, for example, sales volume was 3.3% up on a year earlier.

The picture on value, arguably more important to retailers, is different, though not that much. Sales value was 2% up on a year earlier in October 2010. A year earlier value growth was 2.6%. It is a picture which suggests retailers will struggle for pricing power, which should push down on inflation. More here.

Meanwhile, the improvement in the public finances looks to have stalled. October's net borrowing of 10.3 billion was marginally higher than the 10.1 billion of October 2009. More on that here.