Record fall in high-street prices prompts spending spree

Volume of goods sold in UK rose 0.7% in February as Bank of England governor insists UK's expected negative inflation will not mean deflationary spiral

A record fall in high-street prices put a spring in the step of British consumers last month, driving a bigger than expected rise in retail sales.

Average store prices in February dropped 3.6% on a year earlier, the largest annual fall since records began in 1997, according to the Office for National Statistics (ONS).