Spending spree gives festive retail boost

Boxing Day shoppers at Bluewater
Boxing Day shoppers at Bluewater

by Trevor Sturgess, business editor

A late spending spree gave shops a better-than-expected Christmas.

UK retail sales were 4.1% higher in December than the snow-hit month a year ago.

Although today's results from high street chains Marks and Spencer and Debenham showed generally flat sales, shoppers gave many retailers a happy Christmas and New Year.

Food sales growth picked up strongly and non-food also improved, but with sales often promotion-led.

Clothing and footwear showed good gains on last December's weak sales.

Homewares improved, but big-ticket items and furniture sales remained down on a year ago - hit by consumer caution.

Non-food non-store (internet, mail-order and phone) sales growth picked up sharply from November's low. Sales were 18.5% up on a year ago, double November's gain but similar to the 18% in December 2010.

Stephen Robertson, director-general of the British Retail Consortium, said: "A better than hoped-for December closed a relentlessly tough year for retailers, but these figures hinged on a dazzling last pre-Christmas week and were boosted by some major one-off factors.

"We're not witnessing any fundamental change in customers' circumstances."

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