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Economic & Retail Update Q1 2017

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Economic & Retail Update Q1 2017


As the impact of the shock EU referendum result begins to be realised, the UK economy will feel the brunt with inflation rising and consumer confidence remaining low. This report provides an overview of the key economic indicators such as GDP, interest rates, unemployment and the housing market, and the subsequent impact on consumer confidence and retail growth and projections.

The Economic & Retail Update Q1 2017 report provides an executive-level overview of the economic environment, with forecasts of key economic indicators and the various retail sectors.

It provides in-depth analysis of the following

Market size and forecast; a look at the total market size and forecast size both annual and quarterly for the key retail sectors.

Economic forecasts for the key economic indicators including GDP, interest rates, unemployment, savings ratio, consumer confidence and housing transactions.

Summary of main influences; an overview on the factors driving the evolution of the economy and retail sectors in the five years to 2022.


GDP forecasts improve following a resilient 2016 performance where the UK economy has continued to deliver buoyant growth following June's EU referendum. While still below pre June levels, consumer confidence is holding up stronger than anticipated, allowing us to strengthen our five year GDP forecasts.

Inflation rises significantly as the cost of importing goods hits consumers After a minimal increase in 2016, inflation will peak in Q2 2017 as currency hedging contracts run out, the prolonged impact of the weak pound on importing goods from abroad is realised, and retailers are forced to pass on the price rises to consumers. Since margins have been eroded over the last 10 years following significant levels of discounting, price cuts and investment in infrastructure and the online channel, retailers have very little flexibility in margin reduction-making price increases inevitable.

Housing transactions to fall again in 2017 leading to volume declines in the home sectors The housing market is slowing as consumers put off committing to big purchases during a period of economic uncertainty. Following a pickup in house prices in 2016, stimulated by increased demand from purchasers wishing to avoid the increase in stamp duty in April, much slower growth is expected in 2017 as consumers hold off buying while the impact of Brexit remains unclear. As a result the furniture & floorcoverings, DIY and homewares sectors will suffer, as will major kitchen electrical appliances.

Reasons to Buy

This trend report helps executives build proactive, profitable growth strategies by offering comprehensive, relevant analysis of key economic indicators and retail sectors.

The report is designed for an executive-level audience, boasting presentation quality that allows it to be turned into presentable material immediately.

The broad but detailed perspective will help manufacturers and retailers understand and succeed in the challenging retail market.


Table Of Content


Table of Contents

Economic Update

Retail Update


List Of Figure

List Of Table

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