
Retail Sales Show Surprise Increase
Sales of laptops and video games gave a surprise lift to retail sales in September, supporting hopes that the economy posted at least some growth in the third quarter, without changing an overall dire outlook. The Bank of England has warned of a tough winter ahead, predicting that growth will be close to zero in the last three months of the year, and launched a fresh round of asset purchases to help the ailing economy. The Office for National Statistics (ONS) said on Thursday sales volumes rose 0.6% on the month, but added that sales in August fell more than it had previously estimated. Analysts, who had forecast flat sales on the month and an annual rise of 0.7%, voiced doubt over whether sales would remain strong. Gross mortgage lending rose 4% on the year to £12.9bln in September, the Council of Mortgage Lenders reported, although it said the level of housing market activity was subdued. The CML said gross lending in the third quarter of this year was £38.6bln, up 15% from the second quarter, and 2% higher on the year.
