Retailers bounced back after suffering their worst drop in sales for nearly two-years, official figures show.

Sales volumes across the retail sector grew by 3.4pc in January, according to the Office for National Statistics, in a sign the economy may be on track to recover from its recession at the end of 2023.

The recovery comes after decline of 3.2pc in December, which was the steepest fall since January 2021, when the country was under Covid lockdown restrictions. 

January’s growth far exceeded economists expectations of 1.5pc.

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