ELECTRICAL retail group Dixons has announced plans to create more than 2,000 jobs this year - with 70 at stores in the North-East and Yorkshire.

The move came as the company announced a two per cent rise in Christmas sales in the UK after seeing strong performances from its Currys and Dixons chains.

Despite a "challenging" trading environment, the group said strong demand for digital cameras, plasma televisions and Internet audio products, such as iPods, had helped boost sales.

Currys produced like-for-like sales growth of six per cent in the eight weeks to January 8, while the figure for Dixons was up nine per cent following a refit programme and a move to close smaller, under-performing stores.

PC World sales were below forecast at minus seven per cent after the weak dollar caused a fall in computer prices and mobile phone chain The Link posted flat figures.