UK retail sales returned to growth in January after consumer spending rebounded from the effects of the Omicron contagion.
According to data released by the Office for National Statistics (ONS) at the start of the European session, UK retail sales activity jumped by 1.9% last month after experiencing a 3.7% fall previously.
This figure shows the largest growth ever recorded since April 2021 triggered by non -food store sales, namely household goods and electrical goods.
Core retail sales, excluding automotive fuel sales, were up 1.7% versus 1.2% expected and up from a 3.9% decline recorded in December.
Meanwhile, on an annual basis, sales activity jumped by 9.1% in January from the expected 8.7% and a decline of 1.7% previously.
Broadly speaking, the UK retail sector is seen as relatively resilient in the face of the impact of Covid-19, with overall sales already back above pre-pandemic levels supported by online sales activity.
Following this gradual recovery of economic activity, the pound exhibited a positive reaction traded higher in the European session.
