Retail sales jump 2.3 per cent in January, says BRC

January's retail sales figures were up 2.3 per cent on the previous year according to the British Retail Consortium, however the statistics are not as positive as they first appear according to the body.

Special offers on non-food items ahead of the introduction of a new VAT rate at the start of the month helped boost sales, and there was also pent-up demand after the bad weather of December, which had kept shoppers away from the High Street.

On the downside, sales fell back in the second half of the month because of consumer fears about unemployment and government cuts. And just as December's figures were affected by the bad weather, the BRC pointed out that snow in January 2010 affected sales then, meaning that this year's sales figures for January look artificially high.

The BRC said the 2.3 per cent rise was in comparison with a "feeble" January 2010, when sales fell 0.7 per cent, and put the positive figure down to a "short but strong" surge in non-food sales early in the month.

Read a full report at the BBC.

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