Show Hide image

Primark defies 'slowing' UK demand with strong sales

Sales in continental Europe are encouraging but owners are concerned about slump in UK consumer dema

High street retailer Primark reported strong trade in the first three months of the financial year.

There are 214 Primark stores, with branches in the UK, the Republic of Ireland, Spain, Germany, Portugal, the Netherlands and Belgium.

The shop's owner, Associated British Foods (ABF), expects Primark's revenue to be 11 per cent ahead of last year, despite higher cotton prices, a rise in VAT and adverse weather over the Christmas period.

Primark's like-for-like sales are expected to be 3 per cent ahead of last year.

The shop is doing a good trade in continental Europe but ABF reported "a noticeable slowing down of UK consumer demand".

ABF, which also owns Ovaltine, Ryvita and Twinings, saw their shares go down 3.8 per cent in morning trading.

In April, ABF will post its interim profit figures.