Cheaper clothing means UK high street prices fall again

UK store prices fell more sharply in July than in June, due partly discounts on clothes and fashion accessories, the British Retail Consortium (BRC) said on Wednesday.

Store prices last month fell 1.4 percent compared with a 1.3 percent dip in June.

"Clothing retailers were keen to shift their summer stock with widespread discounts clearly part of their strategy," BRC director general Helen Dickinson said, pointing to a year-on-year fall of 4.9 percent.

The consumer prices index showed its first year-on-year fall in prices in over 50 years in April, and stood at zero in June, but few analysts see a risk of entrenched deflation.