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British shopper numbers in December are expected to be weaker than forecast after snow and ice gave retailers a "torrid time" over the last few weeks of 2010, a survey suggested on Saturday. Data from the market research company Synovate said the coldest December weather in decades meant that its retail footfall forecasts for the month were likely to underestimate the scale of retailers' problems.
Shopper numbers fall 6.1pc compared to 2009 It had predicted that December shopper numbers would be 4.2 percent lower than in 2009, but said it was "likely to end up worse than that". Footfall between December 22 and December 24 were down 6.1 percent this year compared to the same period in 2009.
"We thought it was going to be a slow-burn Christmastide, but it turned out to be a long freeze instead, with the weather playing havoc to shoppers' plans," Dr Tim Denison, Synovate's director of retail intelligence said. The icy conditions in the second half of the month meant that December 11 was the unlikely busiest day of the crucial shopping period.
However, there were some signs for hope in the final days before Christmas, Denison added. Shoppers numbers rose during this last week, with Christmas Eve trading described as brisk, albeit down by 2 percent on last year. With the VAT sales tax due to rise to 20 percent from 17.5 percent on January 4, 2011 and with big public spending cuts looming, retailers are braced for a tough year.
"They will be looking to claw back as much business as possible on the back of the snow-interrupted month and before the anticipated dampening of demand at the start of 2011," Denison added. The week after Christmas Day is expected to be one of the busiest shopping days of the year as shops unveil big discounts to try to lure customers, Synovate said.
The latest official figures released earlier this month showed UK retail sales slowed more than expected in November. However, upward revisions to the previous months meant that the broad picture of steady and unspectacular growth remained intact, the Office for National Statistics said.

Copyright Reuters, 2010

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