Marks & Spencer chief executive Marc Bolland has blamed falling sales on a vicious Christmas price war.

Sales were down 2.1 per cent for the 13 weeks to December 28 when compared with last year on a like-for-like basis, despite concerted attempts to turn around fortunes with new senior personnel and a major marketing push.

The retailer reported a 10th straight quarter of falling clothing sales amid discounting over Christmas and after an unseasonal October held back sales of warmer-weather clothing.

Mr Bolland said M&S had been largely holding its nerve on full-price sales but was forced to act as the high street turned “extremely promotional” with an unprecedented scale of offers at an early stage.

“Anyone who was on the high street could see on the 14/15 (of December) weekend, the whole market was already red (with offers signs).”

Mr Bolland refused to answer questions over his future amid the continued woes in the company’s beleaguered general merchandise (GM) arm, which includes clothing and homewares.

He blamed unseasonably warm weather for a sharp decline in October but said full-price sales were up in November and December.

Meanwhile food sales at M&S rose 1.6 per cent on a like-for-like basis, less than the last quarter’s 3.2 per cent but against what Mr Bollard said was a tough comparative period in 2012.

Record daily food sales saw £64 million in groceries go through the check-outs on December 23 and the company said one in four families enjoyed an M&S turkey on Christmas Day.

M&S said that for the full year its GM margins would be down by up to 0.5%, meaning overall margins — lifted by a better food performance — would be flat. It led analysts to cut annual profits forecasts.

The continued struggles in the GM division come more than a year after Mr Bolland began a reshuffle of the brand’s key fashion executives.

PA