SCOTTISH retail sales value in February was down sharply on a year earlier, with demand for clothing, footwear and household appliances particularly weak amid signs that higher inflation is forcing consumers to reduce spending.

Figures published today by the Scottish Retail Consortium (SRC) show sales value north of the Border in February was down 1.9 per cent on the same month of last year. The value of non-food sales, the more discretionary element of consumer spending, was last month down by 4.4 per cent on February 2016.

Craig Cavin, head of accountancy firm and SRC survey sponsor KPMG’s Scottish retail sector practice, said the non-food sales figures “continue to alarm”.

The year-on-year change in overall retail sales value was again significantly weaker in Scotland than in the UK as a whole.

The value of UK retail sales was up by 0.4 per cent year-on-year in February, according to figures published last week by the British Retail Consortium. And this year-on-year growth in UK retail sales value in February was significantly weaker than the three-month and 12-month averages.

Household budgets are being squeezed further by a jump in annual UK consumer prices index inflation, fuelled by the pound’s weakness in the wake of the Brexit vote.

Annual UK consumer prices index inflation had surged to 1.8 per cent by January, from 0.3 per cent last May ahead of the Brexit vote.

Some economists have meanwhile highlighted their view that the depressing impact of the Brexit vote on UK growth will cause companies to keep a particularly tight rein on pay settlements.

SRC director David Lonsdale said: “These [retail sales] figures suggest Scottish consumers are maybe beginning to tighten their belts and acknowledge the strain from rising overall inflation and moderating wage growth, with council tax set to creep up soon too.”

The value of food sales in Scotland in February was up by 1.3 per cent on the same month of last year.

Mr Cavin declared that February had “put an early spring in the step of food retailers”.

However, he added: “Non-food numbers continue to alarm, with the early sales instigated by retailers in November and December weighing heavily in 2017.”

Mobile phones, wearable technology and gaming were among the few bright spots as the non-food category in Scotland struggled last month.

Mr Lonsdale said: “In recent months, we’ve seen a polarisation in the performance of food and non-food categories - which continued in February.

“Food sales continued to edge up, helped by good sales of wine and chocolates for St Valentine’s Day, as well as stronger demand for grocers’ meal deals - which perhaps hints at less eating-out during the period as consumers reined in spending. By contrast, non-food categories fell back once again, particularly clothing, footwear and household appliances, though there was continuing interest in mobile phones, wearable technology and a revival in gaming products.”

The year-on-year fall in Scottish retail sales value in February was not as steep as the corresponding 3.5 per cent drop in January. However, the year-on-year drop was sharp even in the context of weak figures over the last 12 months.

The SRC has previously highlighted the boost to retail sales figures for the UK as a whole arising from the stronger economic and housing market performance in London and south-east England.

And economists have highlighted the broader impact of oil and gas sector weakness on overall Scottish economic output in recent times.

Economists have meanwhile expressed concerns over the ability of consumers in the UK as a whole to continue to support economic growth against the backdrop of rising inflation and weak wage rises.

Howard Archer, chief UK economist at IHS Markit, said last month: “The squeeze on consumers looks set to deepen markedly over the coming months as inflation likely heads towards three per cent and pay growth is limited.

“Slowing consumer spending bodes ill for growth prospects as the consumer has been the key factor behind the economy’s resilience since last June’s Brexit vote.”

He noted the key part played by the consumer was underlined by the fact business investment dropped one per cent quarter-on-quarter in the final three months of last year.