SEVENTY redundancies at the Hampshire headquarters of B&Q played a part in the "general efficiency" of the DIY giant, it emerged today.

The company's owner, Kingfisher, revealed how the cutbacks at the split site at Chandler's Ford helped B&Q weather a downturn in consumer spending.

Overall, Kingfisher reported a slowdown in sales growth after seeing trading conditions toughen over autumn.

The business update will be of particular interest to more than 1,600 employees based at the Chandler's Ford headquarters of B&Q, along with hundreds of others working out of the chain's depots across Hampshire.

Kingfisher chief executive Gerry Murphy said: "Kingfisher has delivered sales and profit growth in a tougher quarter in the UK and France, with slowing growth in consumer spending and more promotional and price competition in these key markets."

B&Q increased total sales five per cent to £1 billion - by 1.3 per cent on a like-for-like basis - while retail profits rose by 8.2 per cent to £97.5m.

However, the overall performance in the UK was held back by difficulties at Screwfix Direct after sales at the trade supplier fell by 6.2 per cent to £53.4m and the business recorded a retail loss of £1.1m.

The decline was blamed on disruption caused by an overhaul of the division's distribution operation.

At B&Q, Kingfisher said new ranges and increased promotional activity had lifted sales in the areas of kitchens, bedrooms and bathrooms.

However, it added that seasonal ranges such as garden furniture and heating products continued to suffer weak sales in a softer market.

Margins at B&Q survived the pressure caused by lower prices and larger ranges as the group also benefited from better product sourcing and general efficiency.

This included 70 redundancies at its headquarters in Chandler's Ford.

Kingfisher, the world's third largest home improvement retailer, reported third quarter retail profits of £190m - an improvement of 6.7 per cent on a year earlier and broadly in line with market expectations.