British Prime Minister Keir Starmer

A recent survey reveals that UK retailers have experienced the sharpest year-on-year decline in sales in more than four decades, driven by the US-Israeli war of aggression against Iran, which has heightened inflation fears among shoppers.

The Confederation of British Industry (CBI) conducted the survey based on responses from 61 retail chains, collected between March 26 and April 14.

The CBI`s monthly retail sales volume balance plunged to -68 in April, down from -52 in March - its lowest reading since the series began in 1983.

Expectations for May have also worsened, falling to -60 from -49, marking the gloomiest outlook since the COVID-19 pandemic in March 2021.

The employers` organization has already urged the British government to avoid new employee rights legislation that would excessively raise employers` costs, while calling for reductions in business rates (property taxes) and electricity bills.

"Some retailers reported that weak consumer confidence was weighing on spending in April," the CBI stated.

Martin Sartorius, a CBI economist, said firms are looking to the government to address the ongoing financial pressures.

"With the economic impact of the Iran conflict becoming clearer, firms will be looking to government to recognize that easing cost-of-living pressures depends on tackling the cost of doing business," Sartorius said.

Meanwhile, British Prime Minister Keir Starmer is set to chair a meeting on Tuesday to assess the impact of the US-Israeli war against Iran on the UK economy.

Representatives from the Bank of England and the government`s emergency response committee (COBRA) are expected to attend.

"Tomorrow I`m chairing a meeting of COBRA on the impact [of the war], bringing in people from the Bank of England, so that you can be sure we will stand by working people in this crisis," Starmer told trade members on Monday.

"I have to level with you about Iran, because the truth is, the economic consequences could still be with us for some time," he added, citing rising fuel prices as a clear example.

These developments follow the US-Israeli aggression, which has disrupted global markets, triggered sharp increases in fuel prices, and fueled food inflation worldwide.

The war continues to expose the vulnerabilities of Western economies to the consequences of their own aggressive policies in the West Asia region.