A "SUMMER to forget" for the British high street has resulted in retail sales plunging to yet another record low in the first half of August.
The CBI's latest distributive trades survey showed a balance of 46 per cent of firms reporting weaker sales volumes than a year ago – the worst result in the survey's 25-year history for the second successive month.
Sales were weak across all sect
ors except food as shoppers faced with soaring bills reined in spending to pay for essentials, while wet weather also deterred shoppers.
The ailing housing market hit household goods sales as building society Nationwide reported the biggest annual fall in house prices for almost 18 years.
Andy Clarke, chairman of the CBI's distributive trades panel and retail director of supermarket giant Asda, said: "This has been a summer that many retailers would rather forget. The downturn in the housing market is continuing to depress sales for big-ticket items."
The CBI's latest figures showed a net 31 per cent of retailers have cut jobs over the past year, with the trend expected to continue into September.
Confidence on the high street is also on the floor, with a balance of 38 per cent expecting the situation to worsen over the next three months, dampening investment plans.
Ian McCafferty, the CBI's chief economic adviser, said: "Retail conditions have been extremely tough this summer, and the wet August has been a further blow. Sadly, no let-up is expected as we head into early autumn."
The full article contains 258 words and appears in The Scotsman newspaper.
