Andy Clarke Asda

Andy Clarke

Like-for-like sales at Asda were down 0.1 per cent in a tough Christmas quarter for the Yorkshire-headquartered retailer.

The data covers the 13 weeks to 3 January 2014 for sales at stores open over a year, and comes on the back of a third-quarter rise of 0.3 per cent.

Last month, Tesco and Morrisons both reported sales falls over the festive period, while Sainsbury's - a contender with Asda to be the UK's second-biggest retailer behind Tesco - managed to post a small rise.

Andy Clarke, Asda chief executive, said: 'It will come as no surprise that 2013 was a tough year for UK retailers and there's little doubt that the UK retail market is undergoing significant and permanent structural change.

'Though the economy is showing signs of recovery, it is still susceptible to shocks and the benefit is not yet being felt right across the country.'

He added: “We’re playing the long game and the decisions we’re taking now will ensure the long-term growth and health of our business and do the right things for our customers.

'This year alone, we will invest £200 million into lowering prices and £750 million in further developing our estate as we look to expand our reach across the UK, and particularly in the London and the South East.”