Scottish sales plunge in ‘stark reminder of enormous pressure on households’

Scottish high street sales plunged last month as worried shoppers reined in spending, new figures have revealed.

Industry leaders described March’s slump as a “stark reminder of the enormous pressure on households and businesses”.

The Scottish Retail Consortium’s latest monthly sales monitor, covering the five weeks between March 1 and April 4, highlighted a 1.3 per cent year-on-year fall in total sales north of the Border. Adjusted for the effects of inflation, there was a year-on-year slide of 2.5 per cent.

Shoppers on Buchanan Street in Glasgow. Despite decent footfall across Scotland last month, spending was disappointing.

Ewan MacDonald-Russell, deputy head of Scottish Retail Consortium (SRC), said: “Scottish shoppers cut back on spending as worries about the impact of the Middle East crisis saw retail sales plummet in real terms by 2.5 per cent in March.

“The figures are a blow for hard-pressed retailers who hoped Easter coming earlier in this year would lead to a bounce. Instead, despite decent footfall, sales fell across most categories as concerns about energy prices and possible inflation deterred spending.”

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He pointed to a “few bright spots amid the gloom”, with computing and toy sales holding up. However, fashion and footwear sales continued to struggle, putting more pressure on struggling high streets.

“As Scotland’s politicians canvass for votes these figures are a stark reminder of the enormous pressure on households and businesses,” added MacDonald-Russell. “It’s vital the parties recognise the immense costs already impacting consumers and industry and that the next devolved government doesn’t compound the costs crunch they face.”

Total food sales in Scotland nudged up 0.6 per cent last month, compared with March 2025, when they had decreased by 1.5 per cent. The latest outcome was below the three-month average increase of 1.2 per cent but marginally above the 12-month average increase of 0.5 per cent.

Total non-food sales fell by 2.8 per cent last month compared with a year earlier, when they had risen by 1.7 per cent. This was weaker than the three-month average decrease of just 0.1 per cent and below the 12-month average increase of 1.1 per cent.

Adjusted for the effect of online sales, non-food sales north of the Border decreased by 3 per cent compared with March 2025, when they had risen by 2 per cent. This was below the three-month average decrease of 0.1 per cent and the 12-month average increase of 1.4 per cent.

Linda Ellett, UK head of consumer, retail and leisure at KPMG, which helps compile the retail sales monitor, said: “Retail sales disappointed for a second month in a row in Scotland, with consumer spending caution further heightened by the current and potential impact of the Middle East conflict.

“But, despite this challenging trading landscape, monthly examples of category sales growth remain,” she added. “While margins remain under pressure on a number of fronts, retailers need to continue to focus on their month-to-month pricing and promotions, their supply chain resilience and delivering the technological transformation needed to set the foundations for growth.”

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