Pound drops as retail sales see their biggest fall since last April

(Source: Yahoo! Finance)

*Pound falls against the dollar

The pound has fallen to below $1.51 after an unexpected decline in the UK's retail sector in April. Retail sales dropped by 1.3 per cent in April, while analysts expected sales growth to be flat during the month. Last month sales dropped by 0.6 per cent (revised from a fall of 0.7 per cent).

Sales excluding fuel fell by 1.4 per cent from a 0.7 per cent decline prior (revised from -0.8 per cent), despite a forecasted increased of 0.1 per cent.

The ONS said that the biggest downward impact on sales came from the food sector, which shrunk by 4.1 per cent. Cold weather was said to be partly responsible for the deteriorating numbers.