October’s like-for-like retail sales in discretionary categories (fashion, lifestyle and homewares) grew by 4.6% compared to the same month last year, according to the latest High Street Sales Tracker from accountancy and business advisory firm BDO. This is the strongest retail growth BDO has recorded since January 2025.

This growth was driven by online sales, which performed very strongly, up 10.1%. In contrast, high street sales were up just +2.2% compared to the same month last year, below the rate of inflation.

This was particularly visible in the fashion sector, which saw in-store retail sales grow just 2.1%, while online sales experienced 9.0% growth. The overall growth was likely driven by consumers buying winter clothing as temperatures finally dropped after months of warm weather, but shows that high streets are still struggling to compete with online retailers.

Indeed, Sophie Michael, head of retail and wholesale at BDO, warned that this uptick in sales could be down to consumers playing catch-up after the heatwave.“Retailers should be cautious about reading too much into a single month’s performance,” she said. “Colder weather is likely to have prompted shoppers to update their winter wardrobes while promotions activity is likely to have stimulated spending.

“While sales growth has finally moved ahead of inflation, underlying trading conditions remain difficult. Consumer confidence remains fragile and many retailers are working hard to convert the shopper’s interest into spending.

She added that BDO are not expecting the Autumn Budget to have significantly boosted consumer confidence.

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