How will the Royal Wedding impact retail sales

With the announcement of the Royal Wedding, there have been some big predictions already made about the impact on the UK economy. Some of the more negative or possibly realistic views indicate that it is a wedding paid for by the state which in these time of cuts and austerity measures is wholly inappropriate and outlines the archaic royal family. Personally I feel that the benefits to the UK economy both short and long term hugely out ways any costs involved. The Royal Family already generates a huge level of tourism to the UK and this will only improve/increase with a new Princess in the fold.

One of the biggest impacts will be on the Retail sector with some articles quoting sales benefit of up to £516 million.

• The wedding of Prince William and Kate Middleton is expected to provide a £515.5 million boost to UK retailers, with 6.5 million people in the UK expected to mark the occasion in some way
• Food and drink will account for the highest expenditure at £236.5 million (46%) – it is estimated that £130 million will be spent on food, and £97.5 million on alcohol, including half a million bottles of champagne
• Sales of souvenirs, memorabilia, and wedding related merchandise are expected to generate £222.3 million, including 5 million commemorative coins (£24.9 million), 3 million mugs and pottery products (£18 million), and replica jewellery worth an estimated £10 million
• Tourist numbers are anticipated to rise by 320,000 next summer, with visitors spending an average £177 per person on shopping, generating an additional £56.7 million in retail sales

All in all, a Royal Wedding is very good news for retailers…

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