Sales at Boots dropped in the third quarter, the chemist chain's owner has said.

American parent Walgreens Boots Alliance reported that its international sales were down 1.6 per cent in the three months to May 31, mostly due to a 1% decline at Boots UK.

Comparable pharmacy sales at the high street chain were up 0.8% in the period, but retail sales dropped 2.6%.

It comes as the retail stalwart grapples with tough market conditions both in the UK and elsewhere in the world.

In April, Boots said it would review its near 2,500-strong store estate as it looks to cut costs.

READ MORE: 200 Boots stores earmarked for closure across UK

It comes on the same day Boots opened a "store of the future" in London's Covent Garden, which features new beauty brands and express pick-up lanes for prescriptions.

Overall, the Walgreens Boots Alliance's sales in the quarter increased 0.7% to 34.6 billion US dollars (£27.24 billion).

In the US, sales were up 2.3% to 26.5 billion dollars (£20.86 billion) due to an increase in pharmacy sales.

But profits were down due to the issues in the UK, as well as lower US pharmacy margins and retail sales.

Adjusted operating income dropped 11.7% to 1.7 billion US dollars, while earnings per share were down 16.5% to 1.13 dollars (89p).

Stefano Pessina, executive vice chairman and CEO, said the transformation plans were already paying off.

"Following a difficult second quarter, we made progress in the third quarter against the strategic goals we set, and are pleased to report an improvement in our US comparable growth compared with the first half of the year," he said.

Starbucks UK has slumped to an annual loss for the first time since 2013, after it was weighed down by cost increases and store closures.

The coffee chain saw its tax bill for the year rise despite posting the loss.

The firm's taxes have come under significant scrutiny in recent years after it was revealed in 2012 that the business paid only £8.6 million in corporation tax over a 14-year period.

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In 2018, Starbucks UK Coffee Company saw its corporation tax bill rise by 22.9% to £4 million.

The UK arm plunged to a pre-tax loss of £17.2 million for the year to September 2018, down from a £4.5 million profit in the previous year.

It said it made the loss after it was impacted by "very challenging" high street trading conditions and "generally low" consumer confidence.

Life insurance business ReAssure Group has revealed its listing on the London Stock Exchange will value the company at between £2.8 billion and £3.3 billion.

Around 26% of the company will be available to buy on the markets, costing between 280p and 330p a share when listing next month.

ReAssure buys and runs insurance policies, such as life insurance, from other businesses.

It has 4.3 million policies in the UK, with £68.7 billion assets under management.