Where retail sales overall across the UK increased beyond expectations, the automotive sector reported sales well below average for the time of year.

According to the study, two consecutive months of deteriorating sales put the underlying rate of growth “firmly in the negative”.

Despite the decline the rate of sales decline was slower than reported in the previous survey. Stock levels increased relative to expected demand, rising above the long-term average for the first time since last April. Businesses said they expected stocks levels to go up again next month. For the third survey in a row, however, firms reduced the volume of orders placed upon suppliers. Over the year to February the CBI predicted sales are set to post another marked decline.