Barclays has confirmed that credit and debit card holders are spending more as consumer confidence grows through the summer. The bank's latest Consumer Spend report shows spending grew 1.9 per cent in June, with non-essential spending up 1.7 per cent and essential spending reaching its highest point since April 2025.
World Cup Boost for Pubs
Pubs enjoyed their busiest day of the year when England faced Panama in the World Cup, with transactions at five times the 2026 daily average. Rohan Kumar, Head of Spend Insights at Barclays, which has branches in Birmingham, said: “Card spending saw further uplift in June, with both essential and non-essential categories recording stronger growth. Record temperatures, stabilising consumer confidence and the start of the World Cup helped drive a broad-based increase in activity, boosting spending across everyday essentials, summer purchases and social occasions.”
Retail Spending at 11-Month High
Retail spend growth hit an 11-month high, with clothing, electronics and department stores all up after June temperatures reached record highs of 37 degrees in some parts of the UK. Clothing spend grew 2.4 per cent as consumers refreshed their summer wardrobes and took advantage of seasonal sales. General retailers saw a 4.7 per cent increase, while department stores experienced a 9.7 per cent rise.
Heatwave Drives Electronics and Food Purchases
In response to the heatwave, 38 per cent of consumers said they purchased cold food and drink items, while 30 per cent invested in fans or cooling devices. Spending on electronics rose by 2.7 per cent. The Barclays Consumer Spend report combines hundreds of millions of customer transactions with consumer research to provide an in-depth view of UK spending.
Economic Outlook
Jack Meaning, Chief UK Economist at Barclays, said: “While additional spending around the World Cup will be a welcome cushion for the hospitality sector, it remains true that the economy has slowed into the middle of the year. Looking ahead to the second half of 2026, we expect growth to pick up modestly, as improving consumer sentiment and reduced uncertainty are partially offset by the temporary inflation bump.”
