Official figures show that British retail sales rose more than three times as fast as expected in July, boosted by sales, which lifted the furniture and electrical goods sectors.
The Office for National Statistics said sales rose 0.7% last month, the biggest rise since February, taking them up 4.4% on the year. That compared to analysts' forecasts for a rise of 0.2% on the month.
The figures suggest British consumers have weathered five interest rate rises in the last year and may add weight to the view among the majority of economists that borrowing costs will go up again to 6% this year.
The ONS said the increase in sales was driven by more price discounting this July than last year, with prices down 1.1% - the weakest annual rate since April 2006.
Price cuts in furniture and electrical goods pushed household goods sales up 13.4% on the year - the strongest in nearly six years.
But the ONS said wet weather had affected sales of summer food, resulting in a 0.8% annual fall - the weakest in more than eight years. Clothing and footwear sales fell 0.5% on the month.
