The poor weather hit retail sales in March, but stores should see a significant improvement in takings this month, according to a new report.
Monthly research by the Confederation of British Industry (CBI) found that 45 per cent of retailers said that sales were up on a year ago while 28 per cent said they were down.
The balance of plus 17 per cent compares with plus 26 per cent in February and brings the strong post-Christmas spending surge to a halt.
However, the CBI said that March’s sales were still above average for the time of year and said that underlying growth continues to edge upwards.
The business lobby group said that its forecasts for April remain strong, claiming that the slightly disappointing March figures were a blip rather than the signal of a downward trend.
The CBI said that sales of clothing and footwear suffered particularly badly last month, suggesting that retailers had trouble selling Spring ranges in adverse weather conditions.
Wholesalers also experienced a dip in profits in March, although firms in the motor industry reported a growth in sales.
John Longworth, of the CBI, said that many retailers blame the atrocious weather in March for a dip in sales.
“However, consumer confidence remains strong so stores will be hoping for some good trading over the Easter holiday weekend.
“Looking to the future, there is some concern in some parts of the sector that increases in council tax bills and the impact of recent interest rate rises could dampen consumer confidence,” he said.