British retailers reported a fall in sales for October as consumers held off on spending ahead of this week’s budget announcement by finance minister Rachel Reeves, the Confederation of British Industry said on Monday.

The CBI’s monthly retail sales survey – conducted between September 26 and October 15 – showed the headline balance dropped to -6 from +4 in September.

“Retail sales volumes slipped back slightly in October, with some firms highlighting increased consumer caution ahead of this week’s Autumn Budget as a key factor,” CBI Principal Economist Martin Sartorius said.

The survey showed retailers expected a flat performance in November.
Measures of consumer and business confidence have dipped before Wednesday’s first tax-and-spending announcement of the new government which Prime Minister Keir Starmer has warned will include painful measures to fix the country’s public finances.