December retail needs Christmas boom

Hopes of a December recovery in retail sales have been virtually

abandoned, leaving store groups in need of an unprecedented last-minute boom to save their Christmas.

Total spending on credit and debit cards in the run-up to Christmas is rising slower than inflation, according to figures compiled for Financial Mail by Britain’s leading credit card company, Barclaycard.

Spending at department stores has shown a sharp drop and Barclaycard said total spending on cards between the start of October and December 18 was up just two per cent on the same period last year. This is lower than the 2.7 per cent rate of inflation.