Retail sales in the UK rose by 1.8% in July compared to the same month last year, according to figures released by the British Retail Consortium (BRC).

This is the second month in succession that retail sales have risen following June's increase of 1.4%. Sales of furniture and homewares saw their biggest year-on-year growth in three years during July and overall sales via the internet and mail order were up 20% from last year.

"There is a sense among some commentators that the beginning of the end of the recession is here, but rising unemployment and job loss fears will continue to hold back the widespread return of consumer confidence for some time yet," said Stephen Robertson BRC director general.