Retail sales posted their biggest fall in more than a year last month and growth in the number of people placed in permanent jobs slowed, raising the risk of another quarter of economic contraction.

Britain's economy has fallen into its second recession since the financial crisis after a shock contraction at the start of 2012, heaping pressure on Prime Minister David Cameron's government as it reels from a series of political missteps

House prices declined at the slowest pace since June 2010 in March, helped by a better economic outlook and buying ahead of the expiry of a stamp duty exemption, a survey showed

Britain's construction sector grew at the fastest pace in nearly a year in February and firms turned more upbeat as order inflow picked up strongly, a survey showed last Friday, boosting chances that the economy is recovering from a contraction last quarter.

Inflation dropped sharply in January as the effect of a rise in sales tax in 2011 fell away, backing Bank of England forecasts for a sharp easing of price pressure this year and providing some relief for cash-strapped consumers.

Britain's dominant services sector expanded at the fastest pace in 10 months in January and firms grew much more optimistic, a survey showed last Friday, crowning a raft of data last week that raised hopes the economy may avoid recession.

Retail sales rebounded strongly in December as shops slashed prices to lure in pre-Christmas shoppers, providing a rare note of relief after a grim 2011, official data showed last Friday.

The Euro Zone's economy deepened its downturn at the end of 2011 as retail sales fell and sentiment soured, but the first improvement in the business climate in 10 months offered hope that an expected recession may be mild.

Retail sales held up unexpectedly well in recent months and car production rose in November, providing a glimmer of hope that Britain might avoid a new recession

Britain's manufacturing sector shrank for a second successive month in November and at its fastest pace since June 2009 as output and orders fell on weak global demand, a survey showed last Thursday, fuelling fears the country faces another recession