UK consumer spending cools as freezing weather keeps shoppers at home
London
HOUSEHOLD spending in the United Kingdom grew at the slowest pace in almost two years last month as freezing weather kept shoppers at home.
Annual consumption growth slowed to 2 per cent, the weakest since April 2016, Barclaycard said in a report on Tuesday. Spending in stores fell 1.9 per cent as Britons opted for online shopping as the "Beast from the East" snowstorm engulfed the country.
A separate survey by the British Retail Consortium found modest sales growth in a "volatile" March. The industry group said that despite the extreme cold, the early timing of Easter helped bolster sales towards the end of the month.
Consumer spending power has been damped by inflation from the pound's slide following the 2016 Brexit vote, yet there are some signs of optimism, with Barclaycard finding confidence in household finances at the highest level since October.
"It seems consumers have become accustomed to adjusting their budget and as a result are more confident in their own finances," said Paul Lockstone, managing director at Barclaycard, which processes nearly half of the country's credit and debit-card transactions.
"While there are bright spots, however, it's important to note that a sense of caution still remains." BLOOMBERG
BT is now on Telegram!
For daily updates on weekdays and specially selected content for the weekend. Subscribe to t.me/BizTimes
Consumer & Healthcare
Cutting the cord?: Events leading up to Cordlife’s MOH suspension and arrests of its directors, ex-group CEO
Billionaires selling cheap stuff get richer from inflation pain
Amazon to push cashierless shopping tech into more third-party stores, while backing off itself
Japan’s Uniqlo opens Rome store as part of European expansion
Abbott beats quarterly profit estimates on strong medical device sales
Adidas shares surpass two-year high as 'terrace' sneaker trend boosts brand heat