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Annual growth in online retail sales falls to lowest level since records began

1st March 2010

Year on year growth in online retail sales slowed to 5% in January, the smallest like for like rise in the history of the e-Retail Sales Index, a monthly study carried out by consultancies IMRG and Capgemini.

UK consumers spent £4.3bn via the Internet in January - a 22% fall on December 2009.  January was also a disappointment on the high street, with snow and bad weather keeping customers out of stores. The perceived thinking was that online sales would have benefited as a result.

However, Capgemini's vice president for retail consulting and technology Chris Webster said December had proven to be a very strong month, thanks in part to heavy promotional activity, leaving shoppers little appetite to carry on spending in January.