British retail sales fell at a record annual pace in April, the British Retail Consortium (BRC) said today.
The 4.7 per cent fall in like-for-like sales - the biggest since BRC records began in 1995 - came as the busy Easter long weekend landed in March this year, leaving this April's figures depressed compared to 2004.
A slowing housing market, pre-election economic uncertainty and the continuing threat of interest rate rises dominated consumer confidence in April, economists said.
Although the decline was exaggerated by the timing of Easter, another report showing weak retail sales will not be welcomed by Bank of England policymakers, who have identified household spending as the greatest risk to the economic outlook.
Policymakers left interest rates steady at 4.75 per cent for a ninth month running on Monday. "Sales in most sectors suffered, especially big-ticket items," said BRC director-general Kevin Hawkins.
Sales of electrical goods and furniture, items most closely linked to the fortunes of the housing market, were hard hit. Trade in discretionary and non-essential items was especially bad, the BRC said.
The report followed a survey released yesterday from Experian that showed most consumers remained wary about making big purchases on the High Street.