Pubs and restaurants with the clear winners this summer as consumer spending rose 3.9 per cent year-on-year in September, returning to a more modest level after an unusually strong summer.
Data from Barclaycard, which sees nearly half of the nation’s credit and debit card transactions, shows that essential spending remained relatively robust at 4.6 per cent growth, albeit at a more subdued rate than the high levels seen in July (8.7 per cent) and August (6.9 per cent).
At 11.6 per cent, entertainment recorded its strongest growth since June 2017 with many making the most of the final days of summer, powered by increases in ticket sales (7.1 per cent), pubs (11.5 per cent) and restaurants (9.5 per cent).
After an expensive summer, many shoppers are looking to rebalance their budgets and cut back as the final stretch of the year is at the forefront of their minds. In fact, nearly half of consumers (46 per cent) say they are planning to spend less on Christmas this year than they did in 2017.
Esme Harwood, Director at Barclaycard, said:
“We’ve seen spending return to a more modest level as consumers balance their budgets after a longer than usual summer of spend. Rising prices are having an impact on shoppers’ spending priorities, with more of their household budget devoted to everyday essentials such as petrol.
“Looking ahead, a more cautious approach looks set to continue into the Christmas period as consumers remain conscious of the wider economic trends. With this in mind, it’s clear that shoppers will seek out value for money purchases – whether that’s everyday essentials or those discretionary or ‘nice to have’ items.”