World Cup Promotes Spending Mini-Boom

The World Cup has prompted a spike in consumer spending, with Brits spending one-third more in pubs during England’s first match. Punters spent around 10% more in the month of June. 

According to data from Barclaycard, non-essential spending on rose 5.5% last month in comparison to the same period last year, making it the greatest year-on-year growth since October 2016. 

Experts had foreseen a rise in spending as a result of the World Cup and it is thought that this week’s matches – which include Belgium vs. France tonight and England vs. Croatia tomorrow – will see more consumer spending.  

Esme Harwood, a Director at Barclaycard, said “While some lingering caution remains, confidence in household finances is at a 12-month high. This may be good news for retailers, especially as many shoppers are keen to use their spending power to help their local high street.”

High inflation over the past 12 months has put a dampener on real wages, thus weakening consumer spending, but economists anticipate increased spending now that inflation has eased. 

On the whole, consumer spending increased by 5.1% which was a similar rate to last year.

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