John Lewis reports record sales

Record weekly sales at John Lewis have raised hopes of a bumper end to the Christmas shopping period but there are fears that the UK's retail sector could be left with a profits hangover after heavy discounting.

The department store rung up £164.4 million in takings in the week ending on Saturday night, a 4.2% increase on last year – including improvements in fashion and home ware – and 31.8% up on two years ago. Online sales rose 31% year-on-year.