2010.09.2807:12:00UTC+00U.K. High Street Sales Increase In September: CBI

U.K. high street sales were higher than a year ago in September, representing the third consecutive annual increase and surpassing expectations, the latest quarterly Distributive Trades Survey from the Confederation of British Industry showed Tuesday.

Around 60% of retailers surveyed said that the volume of sales advanced during September, while 11% said that it declined, giving a balance of positive 49%. This was the highest balance since May 2004 and compares with an expected figure of positive 39% last month.

Looking to October, a balance of plus 47% of firms expect a higher volume of sales than a year ago. The survey was conducted between August 26 and September 15, and covered 118 companies.

"Retailers expect sales growth to continue next month and, as we get closer to January, sales will be helped by households seeking to beat the VAT rise," said Ian McCafferty, CBI chief economic advisor. "However, weak prospects for take-home pay mean that consumer spending is likely to be fairly restrained in 2011."

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