Shops say euro is still rare on the high street

The euro has failed to gain a foothold in the high street, a year after ministers confidently said that British retailers were "rushing to use" the single currency.

Retail giants said the single currency had made little or no impact on shopping habits in Britain, despite claims that it would be widely available after the introduction of euro notes and coins on 1 January 2002.

Peter Hain said last year when he was the Minister for Europe that "it is very striking that shops and retail outlets are rushing to use the euro. I want the 13 million continental Europeans who come to shop and visit each year to know they can just bring their money over with them."

But despite preparations to accept the single currency in British stores, major retail chains said yesterday that little trade had materialised.

A spokeswoman for Habitat said: "The amount we actually bank is so small it's insignificant." Marks & Spencer said trade in euros had been "light".

A survey by the Bank of England last year found trade in euros was rare.