Retail sales jobs likely to hold despite downturn in retail sales

Monday Nov 26

Just when you would normally expect to be hearing reports of record spending in the run up to Christmas, reports of the first retail sales fall in nine months have been reported, although it would appear those in retail sales jobs should not be concerned at this stage

The latest figures show a fall in the amount that consumers are spending on food and clothes, indicating that the higher costs of borrowing are finally starting curb consumer spending. Although this time of year is ordinarily a time of increasing retail sales, the current trend is not completely unexpected alongside other indicators such as a downturn in the housing market, which now looks like it may have produced a flat year overall by the end of 2007. There are already talks of an interst rate cut in the early part of 2007, with Mervyn King indicating that he expects a sharper slowing of the economy next year.

Consequently retail sales jobs should remain stable for now, with the Christmas period likely to prop up retail sales now for at least the next month or so. If there is to be instability in the retail sales jobs market it looks likely that this will occur next year if Mervyn King's predictions are correct.