The latest British Furniture Manufacturers’ Economic Review points to a third of the British public spending more on home improvements – including furniture – in case of further lockdown restrictions. Managing Director of the BFM, Nick Garratt, has examined reports from the British Retail Consortium, the Bank of England and the EY Item Club as part of the Association’s monthly report. The review – the third from the BFM this year – highlights that, while the increased spending pattern has boosted furniture sales, it is likely to be short-term, with last year’s uncertainty over a ‘no deal’ Brexit now compounded by the impact of Covid-19.
The following data quoted from British Furniture Manufacturers – Monthly Economic Review Sept. 2020
Data for September from Barclaycard revealed spending on non-essential items grew 0.6%, with strong increases in home improvement and DIY(25.7%) and furniture(28%) as the nation spruced up homes ahead of the winter months.
30% of Brits say they are spending more on home improvements than usual in case new lockdown restrictions lead to more time inside.
Rising unemployment as the furlough scheme ends is likely to hit retail sales, while the uncertainty regarding Brexit is expected to impact on the sector.
Nick said: “With restrictions on other consumer spending categories and office workers still at home for the foreseeable future, the sales of furniture are likely to remain high in the short term. However, this month’s strong sales are against poor figures in September 2019, so caution remains vital. Last year, the prospect of a no-deal Brexit loomed but now that same prospect is accompanied by the recent resurgence of COVID-19 numbers and rising unemployment. Combined, these factors could have a significant impact on retail growth over future months.”
*The origunal news was posted by British Furniture Manufacturers. All rights belong to it.