Consumer spending rose by 4.5 per cent year-on-year in July, new figures show, as Britain’s unpredictable weather conditions created a tale of two halves for retailers.
Barclaycard said yesterday there had been a strong spike in spending at the beginning of July when the weather was warm, which was then washed away by heavy rainfall later in the month. Meanwhile, pub spending nearly halved to 8.7 per cent in the last week of July from 15.5 per cent growth in the first three weeks. People splashed out on takeaway instead – up 61.4 per cent.
Clothing retailers were also victims of the weather, with spending up by 14 per cent in the first week, before plummeting 4.3 per cent in the final week in July.
“July was a prime example of how the weather impacts the way consumers spend their money,” said Barclaycard managing director Chris Wood. “As the weather deteriorated, winners emerged in different categories including cinema.”
Spending on entertainment rose 12.8 per cent – its highest level this year - thanks to the success of Jurassic Park and Magic Mike XXL. Cinema spending rose by 42.4 per cen in the last week alone.
Department stores also recorded an 18-month high of 8.8 per cent.