Consumer spending

BUSINESS INTELLIGENCE: BARCLAYCARD

pending grows as Brits return to the office

Consumer spending at supermarkets and food and drink specialist stores bolstered the figures.

Consumer card spending rose by 15.4% in August, compared to the same period in 2019, new research reveals.

Data from Barclaycard shows that spending on essential items grew 14.5% in August compared to the same period in 2019. The figures were bolstered by spending at supermarkets and food and drink specialist stores, which were up 15.2% and 76.9%, respectively.

The data also shows that of those returning to the office, 34% plan to spend more on takeaway breakfast or lunch, and 26% intend to up their spending on socialising after work.

Confidence in the UK economy rose to its highest point since February 2020, with 78% of Brits confident in their ability to live within their means each month, and 71% feeling optimistic about their household finances.

However, this optimism could be dampened by concerns about rising prices, as 64% of consumers worry that everyday items are becoming more expensive, and of those, 42% are already making changes to their lifestyle as a result.

In addition, 35% say rising inflation will make them more likely to seek value in the purchases they make, and 30% are concerned about the impact of inflation on the value of their cash savings. These +14.5%

fears have led to 37% of Brits making cutbacks now to ensure they can afford higher outgoings for Christmas.

Spending on essential items grew 14.5% in August compared to the same period in 2019.

Raheel Ahmed, Head of Consumer Products, said: “Socialising, shopping, and staycations were top of the agenda for Brits in August, as families and friends made the most of the school holidays, giving a welcome boost to hospitality and leisure businesses.

“Over the coming months, these sectors should also benefit from Brits returning to the office, as colleagues enjoy long overdue catch-ups over postwork meals and drinks.”