Brits are cutting back on pints and are driving less in response to the tightening cost of living grip, reveals fresh figures published today.
Purchases in pubs, bars and clubs slowed last month, but were still nearly 40 per cent higher last month compared to April 2019, according to Barclaycard, which oversees around half of card transactions in the UK.
Barclaycard compares spending to 2019 levels to remove the impact of the Covid-19 crisis and lockdowns.
Overall consumer spending jumped 18.1 per cent over the last three years.
However, a large proportion of this rise was driven by prices of goods and services surging over that time.
Barclaycard’s data does not net off inflation, which would measure real consumer spending.
Inflation has climbed to a 30-year high of seven per cent, but is forecasted to surge even further and top 10 per cent this October.
Consumer spending tends to drop if price rises outstrip incomes.
José Carvalho, head of consumer products at Barclaycard, said: “The impact of rising living costs on consumer spending is starting to show, with a number of categories – including subscriptions, takeaways, and bars, pubs and clubs – seeing less growth.”
Around nine in 10 households are concerned about the blow the worsening cost of living crunch will deliver to their finances, Barclaycard said.
Spending on takeaways also dipped, but was still higher compared to 2019.