£100million shopping bonanza as Oxford St bans cars for one day

West End Christmas shoppers defied worries of a global credit crunch as they embarked on the area's first £100 million spending spree in a day.

Up to a million people descended on central London's premier shopping streets when traffic was banned from Oxford Street, Bond Street and Regent Street on Saturday.

It was the third pre-Christmas car-free event, but the first occasion that all three major shopping thoroughfares have been pedestrianised at the same time.

Shoppers spent an estimated £20 million more than during the same event last year in spite of fears of falling house prices and soaring mortgage bills.

Retail analysts said that wealthy foreigners accounted for a large slice of trade on Shop West End VIP (Very Important Pedestrians) Day as they invested in furs and jewels.

Jace Tyrrell, from the New West End Company, which represents traders in the three streets, said: "The increase in wealthy Russian, Chinese and Indian shoppers around Bond Street has been phenomenal.

"The manager of one store I spoke to said Russians were accounting for 90 per cent of all trade.

"They are attracted by the brands and their average spend is massive compared with the average British shopper - they spend thousands of pounds at a time."

Audio and television sales, as well as women's fashion were strongly up on last year. The great Oxford Street department stores said they had recorded a big increase in trade so far in the run-up to Christmas.

At John Lewis, sales were up 9.3 per cent on last year in the past seven days' trading. The store said the huge success of its "little black prom dress" was one vital factor in luring people through their door.

The one million shoppers who turned out on Saturday were entertained by choirs, acrobats, giant illuminations and a performance of the Snowman. A fireworks display finished off the event. Mr Tyrrell said: "There were no problems with the roads closures, everything went really smoothly.

"The day was about giving something back to the shoppers and we would love to see many more car- free days, and not just at Christmas."

Under current rules, two car-free days are allowed each year but the New West End Company wants to increase it to three or more.

A longer term plan will see Oxford Street largely pedestrianised with westbound buses rerouted to avoid it.

Mayor Ken Livingstone, who opened the event, said: "It has become a major event in London's calendar in the run-up to Christmas [and] shows us all what the West End will be like in 2013 with traffic removed and the streets turned over to the pedestrian." The success of the event has strengthened the view of many analysts that the West End is heading for a record Christmas even if high streets elsewhere in Britain are experiencing lacklustre sales.

However, many retailers fear that next year is going to be tough as consumers tighten their belts once Christmas credit card bills arrive in January and February.