Spending in September 2018 is up 3.9%
After a higher than normal summer of consumer spending growth returned to familiar territory. Year on year growth during September 2018 was a modest 3.9%.
Barclaycard process around half of all the UK’s card transactions. Here are the key points from their September 2018 consumer spending report:
- Spending was up 3.9%.
- Petrol prices remained high which provided some of this growth. It also helped push essential spending to 4.6% growth.
- Consumers are continuing to favour spending on experiences. Spending was up in pubs, restaurants and ticketed events.
Where was the growth?
Entertainment saw a significant 11.6% growth. The main factors were: Pubs (up 11.5%), Restaurants (9.5%) and ticket sales (up 7.1%).
Furniture sales fared particularly well. This area saw 6.2% growth, the best performance this year.
How are people feeling about their spending?
After an expensive summer consumers are definitely closing their wallets and purses more often. With the festive period fast approaching consumers are taking extra steps to re-balance their budgets. Additionally 46% of consumers say they are planning to spend less on Christmas this year compared to last year.
There continues to be an over-arching concern about the UK’s economic landscape. 62% of UK adults do not feel confident about the UK economy. Areas of particular concern are rising fuel prices, and the affordability of non-essential goods with 45% saying that they are not confident in their ability to spend in this area.
How did our customer’s categories perform?
Here is how the industries performed year on year in September 2018.
|Y/Y Spend growth by category|
|Auto Parts & Accessories||1.70%|
|Floor Covering Stores||0.30%|
Click here to see the full Barclaycard report.