U.K. June sales slump the biggest in 20 years

AP

Retail sales in the United Kingdom slumped in June by the biggest margin in more than 20 years, indicating that consumers are cutting back spending amid accelerating inflation and slowing economic growth. The Office for National Statistics reported yesterday that sales volumes fell 3.9 per cent last month, the largest decrease since records began in January, 1986. The drop more than wiped out an unexpected 3.5-per-cent surge in May. Global Insight chief economist Howard Archer said that spending over the coming months "continues to look pretty bleak" as consumers face rising utility bills and elevated food prices, increased mortgage payments, falling house prices, major concerns over the economy and muted income growth.