British retail sales surged in June with a 1% jump—way better than the predicted 0.3% drop—driven by heatwave shoppers buying ACs and gear, plus World Cup hype. This follows a rebound in May and April’s numbers, with year-over-year growth hitting 4.2% (vs. expected 2.3%). Inflation cooled slightly on gas and food, and jobs held steady, sparking optimism—but analysts caution that energy costs could soon dampen this momentum. Retailers split: Sainsbury’s and Currys thrived on weather and football, while Frasers (Sports Direct’s parent) still struggles with inventory and market headwinds.
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