Euro retail sales down 1.0pc in March: EU

BRUSSELS, May 4: Consumers across Europe are shying away from shops, with a dramatic decline in retail sales in Portugal emerging from new data for March released by the EU on Wednesday. Retail trade across the 17-nation eurozone fell by 1.0 per cent compared to February, when it had risen slightly against January. In the full 27-state European Union, which also includes Britain and Poland, sales retreated by 0.8 per cent. The biggest monthly drop recorded was in Portugal, down 4.7 per cent. This came in the tense run-up to Lisbon's formal request of a state bailout to eurozone partners, with households anticipating deep cuts in public spending and tax rises. Big year-on-year collapses were observed for Portugal (6.8 per cent) and Spain, where an unemployment rate of one-in-five contributed to a huge 9.6 per cent fall. Overall, the eurozone was also down 1.0 per cent year-on-year, with the benchmark food, drink and tobacco sector posting a 2.1 per cent drop in March compared to 12 months earlier. - AFP