Retail sales fall in December as shoppers cut back

Retail sales fell by 1% in December, according to official figures, as shoppers cut back on spending.

The Office for National Statistics said that retailers told them "consumers are cutting back on spending because of increased prices and affordability concerns".

There was a sharp drop at non-food stores, but food stores also reported a fall in sales.

The ONS also revised down figures for November.

It said that sales volumes fell by 0.5% instead of the original estimate of a 0.4% drop.

The ONS said the drop in food sales during December reinforced the view that people stocked up for Christmas earlier. In November the volume of retail sales at food stores rose by 1%.

"After last month's boost as shoppers stocked up early, food sales fell back again in December with supermarkets reporting this was due to increase food prices and the rising cost of living," said Heather Bovill, deputy director for surveys and economic indicators at the ONS.

Online sales also fell between November and December. The proportion of online sales dipped to 25.4% from 25.9% in the previous month.

Ms Bovill said feedback from retailers indicated "postal strikes were leading people towards purchasing more goods instore".