Deutsche Bank cuts UK retailer ratings on spending concerns

Deutsche Bank cut ratings and trimmed price targets for several UK retailers on May 29, 2026, citing uncertainty over inflation’s impact on consumer spending and margins. The broker downgraded B&M and Wickes to “sell,” and cut Currys and Dunelm to “hold,” lowering targets materially (eg. Dunelm 1,200p→850p). Sainsbury’s kept a “buy” but saw a small target trim; Victorian Plumbing’s target was raised. Deutsche Bank highlighted weaker consumer confidence since March and slower retail spending in April, warning the sector could either face worsening conditions or simply be at a trough in negative newsflow. The note increases downside risk for UK retail stocks and suggests continued market sensitivity to consumer-spending and inflation developments.