ONE major retailer whose latest sales figures provided evidence that online sales are performing well was Marks & Spencer.

In a good quarter for the stores group, it reported that, while overall sales grew by 2.7 per cent in the three months to the end of September 2009, online sales had surged ahead by 30 per cent.

This clearly shows that the switch to online retailing is being successfully embraced by this iconic high street brand.

Analysts were surprised by the figures, having expected a like-for-like fall of about 1.5 per cent over the quarter.

M&S chairman Sir Stuart Rose attributed the results to better buying strategies and stock management. He also said he was confident the company had reached the bottom in its performance.

He did warn, however, that the re-introduction of the higher 17.5 per cent VAT rate was casting a cloud over the next period, and said that, despite lobbying from retailers he was “not confident at all it will be extended.”