The UK e-commerce sector continued to see growth in May, albeit at a slower pace than at the same time last year.

This is according to the latest IMRG Capgemini e-Retail Sales Index, which showed that $163;3.7 billion was spent on online retail purchases by British consumers last month.

IMRG and Capgemini explained that the recession, together with the fine weather changing shopping patterns, resulted in e-commerce sales growing by 8.5 per cent on an annual basis compared with an increase of 30.9 per cent in May 2008.

Online sales fell by 3.5 per cent between April and May this year, the research also found.

Despite this, indicators suggest that the UK online retail sector is continuing to beat the downturn - particularly as the overall retail industry is seeing much lower sales growth than the internet, said IMRG's Tina Spooner.

Mike Petevinos, head of consulting for retail at Capgemini, added: "Those who support their customers to shop in the way they want to and don't lose sight of them as they move between the store, the web and the phone will gain added advantage in providing a compelling shopping experience."

A recent forecast from Verdict Research suggested that UK online sales could account for ten per cent of all retail spending by 2013.