The major department stores in Japan saw sales of luxury items increase in September ahead of a hike in consumption tax from 8 to 10%. Sales growth levels were similar to those seen in March 2014 when the tax increased from 5 to 8%. Stores admitted that the figures were boosted by low results in the same month last year. Watches, handbags and jewellery saw strong sales.

Thus Takashimaya saw sales up 33.2%, while Isetan Mitsukoshi was up 23.7%. Sogo & Seibu sales climbed 20.2%, and J Front, operator of Daimaru and Matsuzakaya, experienced a growth of 30.8%. J Front and Isetan are optimistic and expect less of a decline in October than was the case in 2014. On the other hand, Takashimaya said that sales already show signs of slowing. Sogo & Seibu will hold events such as gourmet fairs to minimise sales falls in the coming months.