Online sales in the United Kingdom reached their highest share of retail spending in five years during June, driven by record-high temperatures and the ongoing World Cup, according to the Office for National Statistics (ONS). The volume of retail sales rose 1% month on month, surpassing analysts’ expectations of a 0.3% decline.

The prolonged heatwave boosted demand for seasonal items such as air conditioners, outdoor products, and clothing, contributing to a 4.2% increase in year-on-year sales—nearly double the anticipated 2.3% growth. The warm weather, coupled with major sporting events, helped offset a 0.7% decline recorded in April, ultimately pushing retail sales growth to 0.6% for the quarter ending in June compared with the previous quarter.

Non-store retailers, primarily online businesses, experienced another strong month with sales rising 4.4% in June. Although this represented a slower growth rate compared to May’s 6.1%, it still reflected a solid 3.8% increase quarter on quarter. Clothing and footwear retailers also performed well, with sales up 1.9% from May, while other non-food stores, including computer and telecoms retailers, saw sales growth of 1.8% month on month.

Conversely, department stores reported a 1.7% monthly decline in sales following a 2.5% increase in May—when shoppers had purchased fans and paddling pools during the earlier hot spell. Household goods retailers also saw a modest sales decline of 0.6% month on month.

Hannah Finselbach, senior statistician at the ONS, noted that internet retailers fared particularly well, with the online share of total retail sales reaching levels not seen since spring 2021, just as coronavirus restrictions were lifting.

Financial services expert Samuel Edwards highlighted the positive impact of warm weather, promotional activities, and the World Cup on consumer spending in June. However, he cautioned that retailers could face challenges ahead due to factors such as a higher energy price cap, persistently elevated interest rates, and inflationary pressures exacerbated by renewed geopolitical tensions in the Middle East, all of which may affect consumer confidence going forward.