UK sales up 4.8% , with general merchandise and home putting in a strong performance but M&S chief exec is cautious about consumer confidence following the budget.
Marks and Spencer's latest interim statement for the 13 weeks ended July 3, 2010, revealed a 4.4% increase in group sales, while Total UK sales were up 4.8%.

The retailer delivered a strong performance in general merchandise, up 7%, which included a 7.4% increase in clothing and a 4.1% rise in home categories. Market share was also up 50bps to 10.7%.

Marks and Spencer's online offer, M&S Direct had a strong quarter, with sales up 49%. The retailer has now extended 'Shop Your Way' - its multi-channel ordering service - to more than 400 stores and launched a mobile-enabled website.

Chief executive Marc Bolland said: "Marks & Spencer has delivered another good sales performance in the first quarter, continuing the progress made by the team over the previous year. We have continued to grow market share across all parts of the business."

He added: "We have made a good start to the financial year, but following the recent budget and the actions proposed to reduce the national deficit, including the increase in VAT, we are cautious about the outlook for consumer confidence and spending and continue to manage the business accordingly."