Credit and Debit Card Spending in the UK Shows Minimal Growth in 2024

According to a report by Barclays tracking card transactions, credit and debit card spending in the UK saw negligible growth in 2024 as cautious consumers indulge in small luxuries, concerts, and travel while reducing spending on food and large ticket items. The report indicates that expenditures on essential needs are expected to rise by only 0.9% in 2024 due to weak supermarket and fuel sales, compared to a 3.9% increase in 2023.

For now, households are setting aside a greater portion of their income, pushing the savings rate well above historical averages. According to Barclays, nearly half of consumers in the UK report cooking more at home to save money, while almost a quarter have joined or expressed interest in the "spending abstinence challenge," which involves cutting back on expenditures for items like takeout, coffee, or clothing.