London sees lowest sales growth in four years
Published: 15 September 2009
Retail sales and footfall drop in the capital, as good weather means consumers opt for outdoor pursuits over indoor shopping.
Retail sales in central London were down 5.9% in August on a like-for-like basis, compared with the same period a year ago when sales were up 8.6%.
According to the BRC-KPMG's London Retail Sales Monitor for August 2009, footfall for the month also fell below its year-earlier level.
Unlike the downpours experienced last August, the good weather last month meant that people often preferred outdoor leisure to indoor shopping.
The pound's weakness against the euro continued to attract overseas visitors, although as the currency shows signs of recovery, the city is becoming a less appealing shopping destination for tourists.
Clothing and footwear weakened, while it was reported that homewares and furniture were generally tough, especially for big-ticket items.
British Retail Consortium director general Stephen Robertson said: "These results don't suggest the recovery is under way. This is the lowest London sales growth since August 2005. This looks like a dramatic drop, but it's compared with a strong August 2008 -the third highest figure last year. The rest of the UK saw poorer growth last August and so a better result this year.
"Central London footfall saw the biggest drop for over a year and a half. The pound is less weak than it was, eroding London's appeal for overseas visitors. Like domestic shoppers, tourists are more cautious."