Peacocks will open 15 new stores in England and Wales in the next month, creating 400 jobs.

A further 40 stores are due to open in 1999 generating another 1,000 posts.

Cardiff-based Peacocks said the move was prompted by increased sales and rising demand for "value for money" clothes.

Pulling in the customers

Chief executive Richard Kirk said: "Despite reports that consumer confidence is declining, Peacocks is new attracting new customers in addition to its loyal customer base.

"In the current economic climate, families are looking for high quality clothes at more affordable prices.

Peacocks plans to open 55 more stores over the next two years

The Peacocks group currently employs 3,800 personnel across its 227 stores and has sales approaching £200m after steady growth.

Figures published by the British Retail Consortium last week showed an overall continuing downward trend in high street shops with latest like-for-like sales only up 1.2%.

But Peacocks has experienced an increase in sales of 13%.

Founded in 1882 by Alfred Peacock as an outlet in Warrington Market, the company has expanded since a management buy-out in April 1997. Nearly 40 stores opened last year.

A £10m central warehouse handling 125m items a year has been set up at Nantgarw, near Cardiff.