British shoppers reined in their spending last month as a surge in fuel prices and higher food bills ate into household finances in a further sign the pound’s sharp devaluation is starting to bite. Official figures showed sales volumes fell 0.3% in January, confounding economists’ expectations of a rise. January marked the third consecutive drop for retail sales. “We have seen falls in month-on-month seasonally adjusted retail sales, both in conventional stores and online, and the evidence suggests that increased prices in fuel and food are significant factors in this slowdown,” she said. Fuel prices have also been pushed up by a rise in crude oil prices on the back of production cuts.

Source: The Guardian February 17, 2017 12:51 UTC