H&M FASHIONS A SALES SURGE

H&M was a big winner during the Christmas period, beating expectations with a 10pc rise in December sales.

The world’s second-largest fashion chain dodged the mild autumn weather that weighed on High Street rivals Next and Primark.

Shoppers in the UK have left coats and winter woollies on the shelves because of the warmer conditions. But the Swedish fashion chain has had big success with celebrity collaborations including David Beckham and Versace.

Separately, the gloom at rival Bonmarche continued.

Just weeks after its profit warning, the chain, which sells low-cost items for older ladies, saw sales fall 2.7pc for the five weeks to December 26.

Chief executive Beth Butterwick, who is leaving to join Karen Millen, said: ‘Trading conditions during November and December were very challenging.

‘In the short period since Christmas, demand has trended towards more normal levels.’ ÷ BHS is in talks with a Polish retailer to lease out its entire flagship Oxford Street store in London for £116.5m.

A spokesman for the High Street retailer could not be contacted for comment.