Footwear sales fall
Retail sales in central London in July were 6.2% higher than a year earlier than in July 2007, according to the British Retail Consortium and KPMG. This is far weaker than the 12.9% annual growth recorded in July 2007 but stronger than the 0.9% decline recorded for July 2008 across the whole of the UK.
As usual, overseas visitors contributed to sales increases with the strong euro continuing to attract Western Europeans.
However, many retail sectors are suffering in the current economic climate. Sales of ‘discretionary’ items such as clothing and footwear and homewares suffered in July.
Other products such as furniture and large electrical goods also remained tough.
Director general, British Retail Consortium, Stephen Robertson, said: “London retailers continue to outperform their UK counterparts, buoyed in July by tourists, discounts and the central London economy holding up better than the rest of the country. But factors affecting other parts of the UK, such as falling house prices and the squeeze on incomes, are starting to impact on the capital.”
