Olympics knocks internet shopping off the podium

Non-store retailing sales volumes, which also includes mail order, fell by 6.7 per cent between July and August, the biggest drop since December 2007, the Office for National Statistics (ONS) said.

Overall retail sales dipped 0.2 per cent in August.

Sporting goods retailers reported higher sales, helping to offset the decline in online shopping.

BNP Paribas economist David Tinsley said: “We would not interpret the (August) fall in sales as being too bad a result.

“The level of retail sales is still hovering around considerably higher levels than it averaged in 2011, indicating there has been some more momentum to consumer spending recently.”

British Retail Consortium director general Stephen Robertson said: “The Games certainly produced a feel-good effect but generally that didn’t translate into many extra sales as people found sport more enticing than shopping.

“The ONS’ own evidence on the knock to online retail growth confirms our own findings that the Olympics were a big distraction from buying for many.”

Howard Archer, chief UK and European economist at IHS Global Insight, said; “It still looks likely that consumer spending will be markedly positive in the third quarter and contribute significantly to a return to GDP growth.”