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British retail sales dip more than forecast in October

The large fall in retail sales suggested that households’ concerns over tax rises in the Budget “contributed to weaker retail spending at the start of Q4,” said Ashley Webb, economist at the consultancy Capital Economics. However, he added that “a solid rise in real earnings in Q4” would support sales volumes in the run-up to the festive period. Webb noted that the school half-term unusually falling outside of the October survey period may have contributed to the drop.

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