John Lewis sales fall states rate cut case

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The bellwether for Middle England's shopping habits saw sales at some stores fall back by as much 26% in the week ending 25 October, although the online business, John Lewis Direct, reported an increase.

Sales at the flagship Oxford Street store were down 11% while at the Waitrose supermarkets they were up 0.6%.

John Lewis admitted the third quarter had ended on a subdued note but said that compared with rivals it was still "outperforming a very challenging market."

While homeware and electricals were hit hard, sales of haberdashery rose.

John Lewis said this reflected a renewed interest in craft, and making and altering existing clothing. Sewing machines posted an unprecedented sales rise of 46%.

By the end of the current week, all 27 stores will be "dressed" for what the partnership acknowledges will be a "testing" Christmas.