Volumes of sales on the UK high street were higher than a year ago in August for the second consecutive year, according to the latest CBI quarterly Distributive Trades Survey, with fashion growth linked to warmer weather.

Retailers expect sales to continue growing in September and they are more optimistic about the general business situation in the coming three months.

Over half of the retailers surveyed (53%) said that the volume of sales rose during the first two weeks in August while 18% said that it fell, giving a balance of +35%. This was similar to the pace of sales growth in July (+33%), and the fastest since April 2007, though it was slower than expected (+45%).

Clothing was among the sub-sectors seeing strongest growth, which also included grocers, durable household goods, footwear & leather, and hardware & DIY.

Better weather at the beginning of August, the summer sales and summer holidays are likely to have helped drive sales up in these sectors, the business group said.

Looking to September, retailers expect sales growth to remain strong, with a balance of +39% expecting volumes to be higher than a year ago. The August Distributive Trades Survey was conducted between 27 July and 11 August, and covered 133 companies.

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Lai Wah Co, CBI head of economic analysis, said: “Better sales growth continued on the high street in early August, and retailers are upbeat about prospects in the coming three months. The summer sales, some warmer weather and the school holidays will no doubt have helped, lifting sales of clothing and shoes and encouraging households to invest in some home improvements.

“Retailers are hopeful that strong sales growth will continue next month. However, the broader outlook for consumer spending is still uncertain, given the VAT rise next year, subdued pay awards and the feed-through of public spending cuts to job losses.”