European tax free sales showed great resilience in June, returning an 11% sales increase over the same month last year, according to tax free shopping firm Premier Tax Free.

 

Within these results, the company pointed to the UK’s 20% growth in June, with this trend continuing into the third quarter, while Indian tourists returned an impressive 44% growth in tax free shopping within the UK which remains the first-choice European destination for Indian tourists.

 

Premier Tax Free also highlighted the fact that Indian tourists registered the highest rate of growth amongst the leading tax free shopping nationalities on a global basis, while the UK also showed strong tax free sales to Chinese tourists, with growth of 51% during June.

 

The impressive UK growth reflects year-to-date gains of almost a fifth (19 %), according to the tax free company.

 

‘STRONG’ SALES TO VISITORS FROM CHINA, HONG KONG, INDIA AND USA

It commented: “The UK performed strongly within this picture, reporting 20% sales growth in June suggesting foreign tourists may be coming to terms with the terror threat in Europe. This is also reflected in arrival numbers to the UK, which continue to look robust for Q3 2017.”

 

The contribution from Indian tourists is also highlighted by the company, pointing to GDP growth of 7% – the highest amongst the largest global economies – plus a growing middle class and rising incomes and the ever-present and increasing availability of low cost air fares.

 

Against this scenario, the company predicts that India is starting to demonstrate signals ‘of being on the cusp of realising the grandiose status that has been predicted by economists for some time’.

 

CHINESE SPENDING UP 51% IN JUNE

While Chinese tourists accounted for the impressive aforementioned 51% growth in June, sales to tourists from both Hong Kong and the USA also performed strongly with respective gains of 39% and 25% compared to last year.

 

Commenting on the healthy scenario, Muriel Zingraff-Shariff, UK Country Manager, Premier Tax Free said: ‘‘It’s encouraging to see the UK remains one of the top choice retail destination for overseas shoppers, having now posted 12 months of consistent high double-digit growth.

 

“The weakening of the UK pound has helped the UK solidify its reputation as a valuable destination for luxury shoppers. Retailers should take confidence from these figures in that despite major political and economic events, international tourists continue to travel to the UK for all their luxury shopping needs.’’

 

Premier Tax Free now claims to be one of the world’s leading Tax Free shopping companies, providing international shoppers with VAT refund and dynamic currency conversion services, in partnership with over 150,000 retail stores in more than 30 countries around the globe.