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Key economic indicators for the UK are facing a two-week delay due to concerns regarding data quality.
The Office for National Statistics (ONS) has postponed the release of its latest monthly retail sales figures to conduct “further quality assurance.”
This delay represents another setback for the UK’s official statistics body, raising questions about the reliability of data that informs critical government policy decisions affecting millions and influences the Bank of England’s interest rate deliberations.
The ONS has issued an apology “for any inconvenience caused.”
Monthly retail sales figures are a closely monitored indicator of consumer spending. Increases typically suggest greater consumer expenditure, which stimulates business activity and contributes to economic growth.
The government has prioritized economic growth as a key objective to improve living standards across the UK.
The ONS has announced that the data, initially scheduled for release this Friday, will now be published on Friday, September 5th.
The organization has faced increasing scrutiny in recent months, with concerns raised about the reputation and reliability of certain data sets, particularly those related to the labor market.
The Bank of England closely analyzes such data releases when deciding whether to adjust interest rates, which have a significant impact on borrowing costs and savings rates.
ONS figures on inflation, which provide insight into the cost of living, and GDP, a measure of economic output, are crucial for informing tax and public spending decisions made by Chancellor Rachel Reeves.
In June, the ONS admitted that the UK’s April inflation rate was overstated due to incorrect road tax data provided by the Department for Transport.
Robert Wood, chief UK economist at Pantheon Macroeconomics, stated that all ONS data “must be suspect now.”
While acknowledging that the ONS “done the right thing” by delaying publication to verify the data, rather than “sweeping the problem under the carpet,” he noted that “mistakes are piling up.”
“There seems to be a serious problem at the ONS. Every odd datapoint now will raise the question, is this real or an ONS error?” Mr. Wood posted on social media.
“This stuff really matters. The ONS need to get on top of this yesterday.”
A critical government review in June highlighted “deep seated” issues within the ONS that require addressing to “rebuild its reputation.”
The review attributed most data problems to “inadequacies” in the agency’s planning and decision-making processes. The ONS welcomed the report at the time and acknowledged the issues raised.
Last month, Sir Robert Chote resigned as chair of the UK Statistics Authority, the body responsible for overseeing the ONS, citing the need for new leadership to restore confidence in the statistics produced by the organization.
Former member of the Bank of England’s rate-setting committee, Andrew Sentance, described the latest delay as a “total and utter shambles” in a social media post.
Bristol and Bath have been ranked among the top 20 least affordable places to rent in England, according to the ONS.
The study examines the proportion of a typical household income required to cover the rent of an average property.
The latest ONS data indicates that Welsh names Mali and Arthur remained popular choices for babies born in 2024.
The population increase of over 700,000 represents the second-largest rise in more than 75 years, the ONS reports.
Supermarket sales of drinks increased, and fuel sales rose as people “ventured out,” according to the UK statistics body.
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