RETAIL group Marks & Spencer posted better-thanexpected profits yesterday but warned of an uncertain economic outlook.

The company shrugged off the impact of the poor summer weather and a major store refurbishment programme to post underlying pre-tax profits of £451.8m for the half-year to September 29, 11.5 per cent ahead of last year and ahead of forecasts.

UK like-for-like sales across the group grew by 1.6 per cent in the first half.

Chief executive Stuart Rose, who has overseen a recovery in the fortunes of the retailer, said: "While the short-term economic outlook remains uncertain, the actions we have taken to reposition and revitalise M&S over the past three years put us in a good position to continue to outperform."

The group has unveiled Hollywood star Antonio Banderas, who supplied the voice of Puss in Boots in Shrek 2, to be the face of a new advertising campaign in the approach to the busiest trading period of the year.