M&S’s UK total UK sales rose 2 per cent, but its UK like-for-like sales fell 2.2 per cent for the 13 weeks to December 29.
In a trading statement, the fashion-to-food retailer said its like-for-like general merchandise sales fell 3.2 per cent and food by 1.5 per cent.
Sales at Marks & Spencer's direct business jumped by 78 per cent. Group sales jumped by 2.8 per cent and international sales rose by 15.1 per cent.
The disappointing showing will prompt City analysts to wipe tens of millions of pounds off full-year profit forecasts.
M&S chief executive Sir Stuart Rose said: “Market conditions became more challenging through November and December. We did not discount in the run-up to Christmas. Stock levels were well controlled over the period. We had a strong start to the Christmas Sale and sale stocks have now cleared.”
He added: “We expect trading conditions to remain tough throughout 2008. We are well positioned with a strong product offer and better than ever values across our business. We now have 70 per cent of our stores in the modernised format and a strong pipeline of new space for 2008 and beyond. Direct and International continue to make good progress.”
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