Weather hits restaurants, but consumers still spend

Weather hits restaurants, but consumers still spend

Consumer spending grew 3.9% year-on-year in January, but the cold weather contributed to keeping consumers out of restaurants on the high street.

According to data from Barclaycard, the chilly conditions kept Brits indoors, with spending in restaurants falling for the third month in a row, by 3.5%, while takeaway expenditure grew 11.4%.

The growth in overall UK spending marks a distinct uplift from the low levels of growth seen in 2019. Despite the restaurant figures, consumers are feeling upbeat about the country’s economic prospects, with three quarters confident about their household finances.

Spending on non-essentials grew 4.0%, with entertainment remaining robust and seeing a 6.8% growth, as a strong opening for the film 1917 helping cinema spend climb 22.0%.

Looking ahead, consumers are also thinking carefully about the most responsible way to spend their money. More than half (56%) said they have become more conscious of their personal impact on the environment and consequently intend to change their behaviour. A third of shoppers (33%) also plan to buy fewer plastic goods.