It's time for retailers to face the reality of falling consumer confidence

With the World Cup truly over retailers need to get back to normal, according to the British Retail Consortium.

Releasing its figures for June, Joscelyne Hynard, senior analyst ? business information team, BRC, said: ?The World Cup and hot weather gave food sales their best growth for some time."

According to Hynard, beer and barbecue foods led the way, but salads, meats and fresh fruit were also popular. During the hot weeks, ice cream, snacks and drinks also sold well.

According to the BRC the tournament hit footfall on days when England played, but also boosted sales of beer, large TVs, sportswear and food. Hot weather also helped food, DIY and gardening, but clothing and footwear dropped back after May's modest improvement. With consumers still pessimistic about personal finances and reluctant to commit to major purchases, housing-related and big-ticket items remained largely discount-driven.

Kevin Hawkins, director general, BRC said: ?Despite the boost from the World Cup, warmer weather, and some early clearance sales, June was not as good as May. Also this performance is being compared with a weak June 2005. Although the gain is indeed encouraging, much of the growth, especially in housing-related sectors, remains discount-driven. Consumer confidence is still fragile and retailers will be hoping factors beyond their control do not weaken it further.?

Helen Dickinson, head of retail, KPMG added: ?Enhanced food and drink sales on the back of the World Cup have been the driving force behind the June sales performance. Our ability to enjoy the 'festival of football' has offset any downside arising from lower customer traffic in key centres during the high interest matches. The level of promotional activity in non-food continues to outpace last year and hence the impact on margins will be felt widely across the sector as the year progresses. In the immediate future though, after a month which will have polarised retailers' fortunes like no other, it's a case of retailers needing to get back to business as usual.?