Dark clouds are gathering on the horizon, warned Sir Philip Green today. And they are not the kind of clouds that bring a climate the fashion tycoon might welcome.

Green warned listeners on this morning’s Today programme on Radio 4 that the forecast for retail looks bleak in the wake of the economic crisis.

“Money’s going to be more expensive, there’s going to be a concern or an awareness that it’s going to be tougher,” he brooded, as his Arcadia chain posted robust full-year figures.

A 2.1 per cent growth in like-for-like sales and a small profits boost in the year to September 1 was “a very creditable performance when set against a background of one of the worst non-summers in many years”, said Green in the results.

But what happens when you set that against the background of one of the most tumultuous periods for consumer spending?

Since the year end, like-for-like growth at Arcadia’s brands, which include Topshop, Miss Selfridge and Burton Menswear, has stalled at 1 per cent in the seven weeks to October 20.

Green’s gloomy sentiments were echoed earlier in the week by another high-profile retailer in its full-year results.

Debenhams chief executive Rob Templeman voiced his “wider concerns about the macroeconomic environment” and its effect on the retail sector. It will be “tough” he told Retail Week.

However, the beleaguered retailer did provide a glimmer of hope in what was a dismal year, by reporting a 2.1 per cent rise in like-for-likes in the seven weeks since its year end on September 1.

The whipping boy of private equity managed to quieten its sceptics, but, thanks to the economic forecast, has not been able to shut them up entirely.

Shore Capital’s John Stevenson was not alone in his predictions for the remainder of the year for Debenhams. “In a flat or growing consumer environment, backed by the benefits of range changes, the refurbishment programme and a pipeline of new space, we would be inclined to offer a more enthusiastic recommendation on the stock,” he said.

“However, we expect consumers to reign in their spending in the New Year, which does not bode well,” he added.

So, is there going to be a silver lining in the cloud hanging over fashion retailers' heads?

It is not only cooling consumer spending that looks set to wreak havoc. Autumn has become a game of two months. What began as a welcome return to a seasonably cool September has since evolved into another mild October. The combination could prove lethal for fashion sales.

It seems that the stormy outlook will rumble on.

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