Grocers have had the best sales growth since December last year, and they have gained the most from World Cup-related purchases, according to the latest CBI Distributive Trades (DT) Survey.

Retailers saw sales grow for a third month running in June, boosted by the football tournament.

But this growth was marginally slower than expected and it is unclear if it will out-live the tournament.

A total of 43 per cent of retailers reported that sales were up on last year, while 34 per cent disagreed. This is a positive balance of 9 per cent.

The figure is unchanged from May’s survey, which saw the fastest sales growth since December 2004.

Sales in June were considered less negative for the time of year, with the balance of minus 4 per cent being the least negative foe nearly 20 months. Volumes of sales are expected to be about normal for the time of year in July.

The underlying trend in sales growth for the year, a positive balance of 7 per cent, as measured by the three-month moving average, is the most positive it has been since February 2005.

Orders placed by suppliers rose for a positive balance of 7 per cent of retailers, leading to expectations for a similar rate in July. Stock volumes edged back up to plus 17 per cent.

John Longworth, chairman of the CBI’s DTS panel and executive director of Asda, said: “It is certainly encouraging that retailers’ sales have grown overall for a third month running and this bodes well for the next couple of months.

“Consumers’ purchases linked to the World Cup have lifted sales for some sectors. But not all sectors have benefited and the recent pick-up may prove short-lived once the England team returns home- let’s hope not too soon.

“In the longer term, the consumer is also likely to stay under some pressure. Wage increases remain modest, unemployment is still rising and discretionary spending power remains hemmed in by rising household and fuel and fuel costs.

“Add to that the instability of the world’s financial markets and speculation about interest rates, and consumers may yet become more cautious in their spending.”

Wholesalers saw only modest growth in June. Sales growth had a positive balance of 12 per cent, which disappointed expectations of plus 30 per cent.

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