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Consumers spend more for twelfth month

Sales boost: the trend of increased consumer spending is continuing as retailers head for the crucial holiday period

Retail sales rose in August, year over year, for the twelfth successive month, reinforcing the trend of increased consumer spending.

After being adjusted for inflation, sales were up for a ninth successive month.

Retailers took an estimated $83.9 million at the tills in August, $3.6 million more than they did in August 2014.

Motor vehicle retailers’s sales increased 31.1 per cent, as all sectors except liquor stores recorded a rise in sales, according to the Retail Sales Index (RSI) figures released by the Department of Statistics today.

Excluding Sundays, there were 26 shopping days in August one more than in August 2014.

The value of overseas purchases declared at the airport was also up slightly, rising to $6.7 million from $6.6 million in the same month last year.

The number of motor vehicles sold was up by more than a third from last year, giving the sector its highest August sales in five years.

Food stores saw a 4.9 per cent increase in sales for the month, 1.9 per cent after inflation was taken into account.

Building materials stores recorded a 4.4 per cent sales increase, 2.6 per cent after inflation. It was the eleventh consecutive month of rising sales volume for the sector. “The increase in sales was attributed to higher demand for residential projects as well as projects related to the America’s Cup,” stated the RSI commentary.

Even service stations saw their sales receipts rise, despite fuel being much cheaper than it was last year because of the slump in world oil prices.

In the “all other store types” sector, tourism-related stores suffered a 5.5 per cent fall in sales, while furniture, appliances and electronics retailers saw a 2.4 per cent increase.