British retail sales rose unexpectedly in November but the public finances deteriorated sharply with government borrowing rising to a record monthly high, official data show today.
The Office for National Statistics said sales volumes rose 0.3% last month, leaving them up 1.5% on the year. Analysts had forecast a fall of 0.6% on the month and a rise of 1.1% on a year ago.
Official retail sales figures have consistently surprised on the upside in recent months, flying in the face of anecdotal evidence that shoppers are reining in spending. The statistics office also published experimental data showing a internet shopping continuing to grow in popularity.
The average weekly value for internet retail sales was more than £220m sterling in November, accounting for 3.8% of total retail sales on the month. In October, the percentage was 3.2%.
Separately, the ONS said public sector net borrowing rose to £15.997 billion in November. That was well above forecasts and the highest monthly figure since records began in 1993.
The current budget deficit also posted a record high, signalling the public finances have deteriorated with alarming speed even before the government's latest fiscal stimulus measures have kicked in.
