Like-for-likes up 2.6 per cent in October
Retail sales climbed 2.6 per cent on a like-for-like basis last month, compared to a decline of 0.2 per cent in October last year, the BRC-KPMG Retail Sales Monitor recorded.

Between August and October, like-for-like sales rose 2.5 per cent and total sales swelled by 5.2 per cent, reflecting the continued growth of retail space.

Food and drink sales remained strong in October and clothing sales picked up after a very poor September. Footwear had a better month, but overall sales for electricals were broadly similar to those in September.

Trade remained difficult for many department stores, with sales still affected by the mild weather and some noting weaker footfall. DIY and garden centre groups reported good sales of garden equipment, but heating and insulation was hit by the warm weather.

Homewares had a good month, but furniture and carpet overall sales fell below last year's levels. Toiletries and cosmetics fared well, but home entertainments was mixed - some companies struggled amid tough competition, especially on new releases.

KPMG head of retail Helen Dickinson said: 'This is another month of consistent growth on the high street. Clothing and footwear have done better this month, as the more seasonal weather has started to kick in.

'However, the key determinant of the success of 2006 will be what happens next month in the lead-up to Christmas.'

August's interest rate rise has not yet fed through to sales, and consumers remain pessimistic about economic prospects in the months to come.