Food sales increased in February, boosted by Valentine’s Day promotions at UK supermarkets.

According to the British Retail Consortium (BRC)-KPMG retail sales monitor, food sales rose by 2.3% year-on-year in the four weeks to 1 March, against a growth of 5.6% in February 2024.

This was level with the three-month average growth of 2.3% but below the 12-month average growth of 2.8%.

IGD chief executive Sarah Bradbury said: “Despite upcoming cost challenges, shopper confidence rose to 2 (from -3 in January) due to wage growth and the impending rise in the National Living Wage.”

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However, she added that February’s volume sales dipped, and that shopper confidence is “expected to remain volatile in response to the external environment”.

UK total retail sales saw a modest growth of 1.1% year on year last month, against the same growth over the same period in 2024.

BRC chief executive Helen Dickinson said: “This weak performance makes many retailers uneasy, especially as they brace for £7bn of new costs from the Budget and packaging levy in 2025, as well as the potential impact of the Employment Rights Bill. The industry is already doing all it can to absorb existing costs, but they will be left with little choice but to increase prices or reduce investment in jobs and shops, or both.

“The focus of the Employment Rights Bill should be on unscrupulous employers but instead the industry faces ongoing uncertainty and a trajectory that risks punishing responsible businesses who provide valuable employment, particularly at entry level. It is time for government to course correct to ensure investment and growth are not undermined.”