Poor weather fails to dampen retail sales in July

Retail sales in Britain rose 1.8 per cent on a same store basis last month, while total sales advanced by 3.6 per cent, in figures released by the British Retail Consortium (BRC). The numbers outsripped June's 1.4 per cent and 3.2 per cent respectively.

The increase came as the country suffered one of the wettest Julys on record and meant shoppers had few alternatives to spending money. However it also increased hopes that the worst of the recession may be past.

Initially the early good weather meant a pick-up in sales of summer goods like DIY and gardening goods, however as the rains came sales of wellies leapt, along with home-related products like furniture, carpets and home accessories. The move towards interior decoration was helped by increasing confidence in the housing market.

Stephen Robertson, director-general of the BRC, said: "July showed us both sides of the British summer and gave some parts of retailing a much needed boost... There are some signs that people are using holidays to improve their homes rather than spending on going away.”

There was more good news in the online sales figures. Sales of non-food goods were up 20 per cent, the most since December last year, as the weather and the overall trend towards home shopping boosted the numbers.

WHAT THEY ARE SAYING:Helen Dickinson, head of retail at KPMG, in the Times: "On the face of it, last month’s trend has continued, with retail sales holding up better than some other areas of consumer spending. But the volatility of performance across the different sectors remains, highlighting the current precarious nature of consumer demand." ·