UK retail sales increased last month, by 2.5% year-over-year, ahead of the average 12 month growth of 1.9%.

Food sales went up by 3.9%, compared to 3.3% in the year prior. The increased retail activity was driven by warmer weather, as well as the Wimbledon tournament and the Euros.

Meanwhile, in-store and online non-food sales grew by 1.9% and 0.3%, respectively. Overall, online non-food sales narrowed to 34.8% from 35.1% in the year prior.

Helen Dickinson, chief executive of the British Retail Consortium, said: “Food sales did well in early July thanks to warm weather and a packed sporting schedule, though this momentum failed to hold for the rest of the month.”

“Rising food inflation meant increased spending was more a result of higher prices than improved demand,” she added.

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Sarah Bradbury, CEO of the Institute of Grocery Distribution, said: “With food price inflation climbing to 4.5% and economic uncertainty growing, shoppers face a tough outlook.”

“Own-label products continue to outperform brands, but modest volume growth shows inflation is masking any gains. A potential interest rate cut and a sunny bank holiday could offer a much-needed boost at the end of the summer,” she added.