Spiked linked to housing sales
Retail spending in B.C., clocking in at more than $5.8 billion a month, is leading the entire nation in growth and has put once-market-leading Alberta deep in the shade.
“The first quarter of 2015 reflects a dramatic shift in consumer behaviour relative to last year,” noted Colliers International in its latest national retail report.
The data shows that, with 7.8 per cent increase, B.C. has rocketed ahead while Alberta posted a 2.4 per cent decline in consumer sales, and second-place Ontario eked out a 3.9 per cent increase compared to the first quarter of 2014.
B.C.’s nation-leading growth is well ahead of the 2.9 per cent increase it reported in the first quarter of 2014, Colliers notes.
Last year at this time, Alberta retail spending had soared 9.3 per cent from the year earlier. The plunge in oil prices to the $60 per barrel range is blamed for the dramatic drop in Alberta retail spending in 2015, which fell 2.4 per cent in the first quarter compared to the same period in 2014.
“Alberta's [2014 growth rate] is likely the last time the province will lead the provincial growth rates until oil prices grow substantially, “Colliers forecast.
Metro Vancouver, which posted 11 per cent growth in consumer spending in the first quarter, leads B.C.’s retail performance reported the Central 1 Credit Union. Much of the surge can be traced to the robust housing sector, according to Central 1 economist Bryan Yu, who noted that metro building material sales are up 30 per cent and furniture sales posted a 21 per cent increase in April alone.
