Retailers become more positive about future

Date: 27th October 2009

An improvement in high street sales has been noted by the Confederation of British Industry (CBI), in what is likely to be good news for many of the nation's smaller businesses.

The Distributive Trades Survey found that retail sales were likely to have risen during October 2009, with eight per cent more respondents saying that overall volumes had risen, rather than fallen.

Analysts' expectations had been for a positive balance of only three per cent.

Meanwhile, 19 per cent more retailers said that their sales volumes would improve, rather than worsen, during November 2009.

This is the strongest positive balance registered since July 2007, just prior to the onset of the global credit crunch.

Commenting on the CBI figures, Richard Lowe, head of retail and wholesale at Barclays Commercial Bank, said: "Retailing is picking up in the short-term, as many Britons are taking advantage of the myriad discounts and sales promotions retailers are offering to entice spending."

He added: "With the lead-up to Christmas around the corner, shops will be welcoming the improvement and will be hoping for this momentum to be sustained into the longer-term."