Hammond boosted by consumer spending and higher tax receipts

Shoppers 'ignore Brexit', while record employment levels contribute to 1bn deficit cut

Philip Hammond has received a twin boost after the latest official figures showed consumers ignoring the threat of a no-deal Brexit to carry on spending, and higher tax receipts leading to a fresh fall in the government's budget deficit.

Data from the Office for National Statistics showed retail sales - goods bought in shops or online - were up 0.4% in February, confounding City fears of a similar-sized decline.

Related: Shoppers increase spending despite Brexit uncertainty