British retail sales suffer slump due to snow

Retail sales in Britain tumbled in December by a record amount, official data showed yesterday, as shoppers avoided the high street and companies struggled to deliver online sales due to heavy snow.

Sales dived 0.8 per cent in December from November, despite the run-up to the crucial Christmas trading period.

Retail sales were also flat in December compared with 12 months earlier, the Office for National Statistics (ONS) said. That was the weakest 12-month performance since January 2010.

Food stores witnessed a record 3.4 per cent plunge in sales last month compared with December 2009, the ONS added.

“One factor to blame was that December 2010 was the coldest December in 100 years,” said ONS statistician Kate Davies.

“Another factor was a five per cent rise (year-on-year) in prices of goods sold at food stores.”

Market expectations had been for a monthly drop of 0.4 per cent and an annual increase of 0.8 per cent, according to economists polled by Dow Jones Newswires.

“UK retail sales fell 0.8 per cent month-on-month but we expect that this was almost entirely down to the bad December weather,” said ING economist Rob Carnell.

Last month was Britain’s coldest December since records began.