The rate of growth on the high street slowed to the lowest level in eight months as interest rate rises and wet weather took their toll on spending.

Figures from the British Retail Consortium showed like-for-like sales rose 1.2% in July compared with 4.6% in June, the weakest display since November 2006.

The retail body said the figures suggested the Bank of England should resist the temptation to raise interest rates again this year, as has been predicted by many analysts.

“Given these conditions, the Bank should now wait and see what happens over the next few months before doing anything further with rates,” said the BRC’s director Kevin Hawkins.

Clothing, footwear and food sales were particularly badly hit by the wet weather, it added.