Maike Currie, vice president of personal finance at PensionBee, said: “March’s retail bounce is somewhat misleading.
“Growth was driven by two forces: panic-driven fuel stockpiling and the ‘lipstick effect’.
“As households rushed to fill tanks amid fears of rising prices and shortages, fuel sales surged, masking weaker underlying demand.
“At the same time, consumers are still allowing themselves small, mood-boosting treats – think a new lipstick, skincare upgrade, fragrance, coffee shop indulgence or an affordable fashion pick.
“But this resilience looks fragile as households brace for further cost-of-living pressures amid the economic fallout from the Iran war.”
Contact details are available to account holders.
Create a free account to get in touch with this expert.