CLOTHING chain Matalan has blamed a decision to reduce the number of cut-price garments on its shelves for a 5.5 per cent fall in sales over Christmas.

The company, which is based in Skelmersdale, Lancashire, said home and Christmas gifts performed poorly in the ten weeks to January 7.

Matalan, which has about 190 stores, said sales of non-reduced clothing rose by 0.3 per cent during the same period.

The company said demand for seasonal products, such as knitwear and coats, led to an improvement in clothing sales during the second half of the 19-week period. Overall, clothing sales fell 4.8 per cent, and were down 1.9 per cent when cut-price clothes were not included. Total sales fell 7.6 per cent during the 19 weeks.