Retail outlook sinks to worst since early 1990s

Sat 2 Aug 2008
LONDON (ShareCast) - The number of consumers hitting the shops fell in July for the third consecutive month, a report by Experian Group showed, as concern about an economic downturn dampened sentiment.

Retail visits fell 2.6% from the same time a year before, Experian (LSE: EXPN.L) said. June's footfall figure was up 2.7%. The report also predicted that the next 12 months could mark the slowest period for Britain's retailers since the early 1990s.

"Even with oil prices coming off a recent high, consumers will be squeezed by high petrol and food prices, rising home heating bills come winter and the continuation of the credit crunch until well into 2009," said Experian Senior Economist Matthew Sherwood.

"Falling house prices don't help either, so all these factors mean we have more and more downward revisions. We do see some pick-up in the second-half of 2009, but its going to be modest," he added.

Source: http://uk.biz.yahoo.com/080801/214/i46c7.html