British retail sales rose 1% year-on-year on a like-for-like basis in July 2026, below market expectations for a 1.5% gain and slower than June's 1.7% increase, marking the softest growth since February as consumers stayed cautious on bigger-ticket purchases despite support from England's run to the World Cup semi-finals and a prolonged heatwave. Food sales rose 3.8% while non-food sales fell 0.7%, with clothing benefiting from hot weather although footwear sales declined. The British Retail Consortium's broader total retail sales measure had previously shown a 1.3% increase from July 2025, down from 1.9% in June. Barclays said overall consumer spending rose 2.0%, slightly faster than June's 1.9%, with essential spending up 2.9% and non-essential spending up 1.6%. Pub transactions jumped 10% during the month, while travel spending shifted toward staycations and airline spending fell 6%. Barclays also said consumer confidence in the UK economy reached its strongest level in 21 months.