West End shoppers spend £250m in weekend to beat VAT hike

Tens of thousands fewer people than last year travelled into the West End for its annual traffic-free shopping bonanza - but they spent more than ever to beat the looming VAT rise.

The number of shoppers in central London over Saturday and Sunday was down almost 20 per cent on the equivalent weekend last year.

But initial estimates suggest total spending was about £20 million higher, at £250 million. The average spend per person was up from £120 to £200.

Tim Denison, a director at consultancy Synovate, said West End footfall was 19.6 per cent down, probably due to the weather and the fact that last year the equivalent weekend fell a week closer to Christmas.

"The fashion sector saw quite strong year-on-year growth but other sectors were substantially down," he said.

"VIP Day" on Saturday, when Oxford Street and Regent Street becomes pedestrian-only, was organised by The New West End Company. It had moved from the original date, next weekend, because of a clash with a climate change protest. Shoppers in Oxford Street said the VAT rate rise from 17.5 per cent to 20 per cent in the New Year encouraged them to buy early.

Nick Bulatovas, 23, from Barnet, said: "People need to buy things, it doesn't matter about the economic situation. Most people are buying things when the VAT is low and storing them. I think they are going to carry on buying."

The bonanza came ahead of what is being dubbed Manic Monday, expected to be the busiest ever internet trading day. British consumers will be spending up to £22 million an hour online today, it is estimated, 29 per cent up on the equivalent day last year.

Economists expect retailers to enjoy a bumper Christmas ahead of what may be a bleak New Year. Sales at John Lewis Oxford Street over the weekend were up 16 per cent. But Tube strikes could take the gloss off, with a stoppage today and one planned for Boxing Day. About 96 per cent of West End shoppers use public transport. A Tube strike day typically wipes 20 to 30 per cent off sales at a West End store.