UK high street chain reports falling sales

The trading woes at Woolworths deepened today after the retail chain reported a sharp deterioration in sales and margins during June and July.

Shares dived 13% after Woolies said like-for-like sales fell 6.7% in the six weeks to July 26, with margins also under pressure because a greater proportion of trade came from CDs and DVDs, rather than higher margin sales of warm weather outdoor products and clothing.