Jeremy Hunt has defended the latest figures, which show retails suffering an early drop in business as visitors stay away from central London during the Olympics.
The Culture Secretary told Daybreak: "It may be a bit up and down over the next few weeks, but in the years that follows, it's going to be terrific for London businesses.
More top news
Becoming mostly dry this morning then thundery showers developing during the afternoon.
Police have charged a 29-year-old French man with the murder of a British backpacker in Australia.
Rescuers have worked through the night in an attempt to find survivors from Wednesday's devastating earthquake in central Italy.