Retailers struggled in January due to the effect of the VAT rise and snowy weather, with shoe shops being one of the few areas to show strong annual growth.
Harsh winter weather and a rise in VAT deterred shoppers from spending on the high street in January, prompting sales to fall at their fastest pace since last summer, according to a survey of retailers.
Grocers and footwear and leather retailers were the only sectors to see strong annual sales growth, while sectors linked to the housing market suffered a reversal of fortune. "This was particularly noticeable for big-ticket items, with sales volumes in durable household goods and furniture and carpets dropping after three consecutive months of growth," the CBI said