The gloomier picture was echoed by the British Chambers of Commerce, which released separate figures late on Wednesday showing that the UK’s economic recovery slowed in the final quarter of the year.

Only 45pc of companies responding to its survey said they saw increases in domestic sales in the fourth quarter of the year, compared to 47pc in the third quarter.  

The study also suggested that further pain was on the horizon, with 58pc of businesses now expecting their prices to rise over the next three months – the highest on record.

Springboard said consumer appetite to buy gifts in stores was “clearly impacted by the rapid spread of the omicron variant and the introduction of Plan B guidance by the government from the third week of the month”.

“This meant that the natural boost in shopper activity which typically occurs in the run up to Christmas did not materialise, due to a blend of consumers nervousness around the rapid rise in infections and the risk of missing out on Christmas, households isolating due to infection and the re-introduction of working from home.”

Diane Wehrle from Springboard said retailers’ biggest challenge over the next few weeks would be staff continuing to stay working from home, as the Government shies away from rolling back Plan B measures.

Retailers also face a seasonal hit from shoppers returning unwanted Christmas gifts in early January.