A marginal recovery in retail sales between January and February prevented the volume of seasonally adjusted sales recorded in the latest three months from declining against the autumn months.

Until December, official numbers from National Statistics presented a picture of slowing growth. But NS has now revised downwards its original estimates for November, December and January.

Statistics published yesterday showed a 0.6 per cent decline from September/ November, the worst showing since March, 2003.

The picture emerging is of a recovery in the first two months of 2005 that has proved too shallow to offset a sharp setback in the critical month of December.

Food stores still managed a 0.5 per cent increase on a three-monthly comparison, despite a fractional dip between January and February.

But non-food shops were 1.7 per cent down over the three months - even though textiles, clothing and footwear staged a 2.5 per cent recovery during February.

Internet shopping has been steaming ahead all the time, driving non-store retailing generally 3.6 per cent higher last month to a level 12 per cent up on February last year.

Kevin Hawkins, director general of the British Retail Consortium, said the numbers were no surprise and reinforced the BRC's own figures last week.

He said: "Retailers are relieved that the Chancellor did nothing to further weaken consumer confidence, but we need a reduction in interest rates to help rebuild it."