UK retail sales returned to growth last month as they were pushed higher by motorists stocking up on fuel as prices shot higher because of the Iran war, according to official figures.
The Office for National Statistics (ONS) said the total volume of retail sales, which measures the quantity bought, rose by 0.7% in March.
It compared with a 0.6% fall in February, which was revised slightly lower.
The latest reading was also stronger than expected, with economists having predicted a 0.1% dip for the month.
Statisticians said March’s increase was particularly driven by a spike in demand for fuel, which saw sales volumes jump by 6.1% for the month, the highest level since April 2021.
They indicated that this was especially linked to a short period, of less than a week, of particularly elevated sales as unfolding geopolitical events in the Middle East caused a significant rise in prices at the pump.
The value of sales, the amount of money spent, for fuel was up 11.6% amid the jump in petrol and diesel prices.
Recent data from the RAC shows that petrol prices have risen by 18.5% to 157.34 pence per litre, as recorded on Wednesday.
Meanwhile, diesel is up 33.4% to an average of 189.88 pence per litre.
Elsewhere, clothing stores also had a strong month, with sales volumes across the category rising by 1.2% in March amid a boost from better weather conditions.
Technology retailers also saw sales grow after they benefited from new products launches.
However, food sales were weaker, slipping by 0.8% for the month.
The ONS said overall retail sales volumes are up 1.6% for the first three months of 2026, as the industry was also supported by positive growth in January.
ONS senior statistician Hannah Finselbach said: “Retail sales rose in the three months to March, with commercial art galleries doing well earlier in the quarter and sales in beauty products stores rising as retailers reported launching new collections.
“Motor fuel sales were up on the quarter, with retailers commenting that many motorists had been filling up their tanks in March following the start of conflict in the Middle East.”
Elliott Jordan-Doak, senior UK economist at Pantheon Macroeconomics, said: “The first batch of hard data on consumers’ spending since the start of the Iran war was better than expected.
“Granted, stocking up on motor fuels drove headline sales higher, but even excluding petrol retail sales volumes nudged up showing that households largely brushed off the initial shock of higher energy prices.”
