British shoppers have started to rein in their spending as rising interest rates and wet weather dampen consumer confidence.

The latest figures from the British Retail Consortium show retail spending growth in the UK slowed for the second month running in July.

Like-for-like sales rose just 1.8 per cent in July from a year ago, down from 2.4 per cent in June and 3.7 per cent in May.

Meanwhile, total sales (which include the impact of new stores and additional retail space) rose by just 4.3 per cent in July compared with 5.0 per cent in June and 6.5 per cent in May.

Sales of sandals, summer clothes and swimwear were hitearly in the month, the BRC survey said.

The Bank of England raised interest rates by a quarter-point to 4.75 per cent last week - the fifth rates hike since November.