FTSE 100 Up as UK Retail Sales Strengthen

Key Moments

FTSE 100 rose 0.3% in early trade as UK stocks outperformed broader European markets trading lower.
UK retail sales increased 0.4% in December, beating expectations of flat growth and reversing a November decline.
C&C Group (LON:GCC) cut its fiscal 2026 profit outlook, while Babcock (LON:BAB), Record (LON:RECL), and Pets at Home (LON:PETSP) reported notable corporate updates.

London Stocks Edge Higher While Europe Slips

British equities advanced on Friday morning as investors assessed new UK retail sales data and looked ahead to the Bank of England’s upcoming rate decision. At 0823 GMT, the benchmark FTSE 100 was up 0.3%, while the British GBP/USD pair eased 0.04% to 1.3488.

The move came in contrast to major continental European indices, with Germany’s DAX down 0.1% and France’s CAC 40 also lower by 0.1%.

UK Retail Sales Beat Expectations

Retail activity in the United Kingdom showed resilience in December. According to data from the Office of National Statistics released on Friday, retail sales rose 0.4% from the previous month, recovering from a drop in November.

The monthly outcome was stronger than economist projections, which had pointed to flat sales. On a year-on-year basis, sales climbed 2.5%, compared with a revised 1.8% increase in November and well ahead of the 1.0% forecast.

Retail Sales Metric	December Reading	Prior/Forecast
Month-on-month change	+0.4%	Flat expected
Year-on-year change	+2.5%	1.8% in November (revised); 1.0% forecast

Corporate Updates From UK-Listed Companies

C&C Group Cuts Profit Guidance

C&C Group (LON:GCC) revised its outlook for fiscal year 2026, narrowing its guidance for adjusted operating profit to a range of €70 million to €73 million. The alcoholic beverage producer pointed to subdued consumer sentiment following the November UK Budget, which it said weighed on customer performance in November and early December.

Babcock Stays on Track and Announces CEO Transition

Babcock International Group PLC (LON:BAB) said on Thursday that robust organic revenue growth extended into its third quarter, keeping the defense contractor on course to achieve its full-year margin target of 8%. The company also reported that CEO David Lockwood will retire, with a successor drawn from the Nuclear sector already chosen.

Record PLC Sees AUM Growth

Currency manager Record PLC (LON:RECL) disclosed that assets under management reached $115.9 billion at the end of December, up from $110.3 billion at the end of September. The firm attributed the increase to positive net inflows and growth in underlying assets, partly offset by foreign-exchange effects.

Company	Ticker	Key Metric / Update	Figure / Change
C&C Group	LON:GCC	FY 2026 adjusted operating profit guidance	€70 million – €73 million
Babcock International Group PLC	LON:BAB	Full-year margin target	8%
Record PLC	LON:RECL	Assets under management (end-December)	$115.9 billion (from $110.3 billion end-September)

Executive Moves at Pets at Home

Pets at Home Group PLC (LON:PETSP) confirmed changes to its finance leadership team. Sarah Pollard is set to join as Chief Financial Officer Designate on March 23, 2026. She will take over from Mike Iddon, who will leave the Board on March 27, 2026, at which time Pollard will become Chief Financial Officer and Executive Director.