Shops set for gloomy Easter

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Consumer spending over the long Easter weekend is expected to total £9.1 billion, or £360 per household, 14% less than the £10.6 billion spent in 2007, according to the centre for economics and business research (cebr).

The group said that despite falling house prices and the credit crunch causing many people to tighten their belts, the main culprits of the drop in spending would be the weather and the early Easter.

It said Easter was nearly as early as it could get this year, while the Met is forecasting the coldest Easter weekend since 1964 and before that 1883, with snow expected to fall in many places.

By contrast Easter last year fell in April, when the weather was sunny, with England enjoying higher temperatures than the Costa del Sol.

The group said spending last year was "exceptionally strong", but even when compared with a normal Easter, consumer spending this year is expected to be "depressed".

It said: "First the weather is likely to discourage shoppers. Second, retail spend is on a weakening trend, despite the stronger than expected February figures issued on Thursday, and the credit crunch and slowing housing market make an uncomfortable background.

"The combination of bad economic news and bad weather is unlikely to be the best background for spending."

The long Easter weekend usually marks the start of heavy spending in garden and DIY stores, as well as the beginning of the house buying season.

But DIY and garden shopping is expected to be delayed this year, with spending expected to be down by up to 50% in some areas compared with last year.