LONDON, March 24 (Reuters) – British retail gross sales rose 1.2% in February from the month earlier than, figures from the Workplace for Nationwide Statistics confirmed on Friday.

Economists polled by Reuters had forecast that retail gross sales volumes in February can be 0.2% greater than in January.

Friday’s information confirmed that retail gross sales volumes in February have been 3.5% decrease than a 12 months earlier.

British shoppers have been squeezed by inflation which hit a 41-year excessive of 11.1% in October and has remained in double digits since.

On Thursday the Financial institution of England stated it anticipated inflation to fall sooner than anticipated over the approaching months, as a consequence of decrease vitality costs and the federal government’s extension of subsidies in final week’s price range.

The financial system appears on monitor to keep away from a recession which was broadly forecast on the flip of the 12 months, and a shopper confidence survey on Friday confirmed sentiment at a one-year excessive, although nonetheless very weak by historic requirements.

However even taking these components into consideration, authorities price range forecasters stated final week that Britain was nonetheless heading for the largest two-year discount in residing requirements since information started within the Fifties.

Reporting by David Milliken; modifying by William James

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