"Retail sales volumes increased by just 2.7% in September as values increased by just 1.3%. Online sales were up by over 10% accounting for 11% of all activity continuing the squeeze on the conventional retail model.
"You can’t run a retail business without commenting on the weather and so it is with the Office For National Statistics. The official government source of all knowledge explained that warm weather in September appeared to hit clothing and footwear sales. “Too hot, too cold, too wet, too dry”, the retail mantra, perhaps the met office should handle the retail data.
"Average store prices in the month fell by 1.4% but with a large assist from petrol prices down by over 5%.
"Online food sales increased by over 13% year on year, compounding the footprint challenge for Tesco and other large store formats. Now accounting for 4% of all food sales, the problems set by multi channel will only increase in the food sector.
"After a strong start to the year with sales up 4% in the first six months, the third quarter has been disappointing. We have downgraded our forecasts for the rest of the year and into 2015 to just over 3%."