Restaurant spending falls but takeaways fare better

Spending in bars, pubs, and clubs was largely flat, rising by only 0.1% while takeaway and fast food recorded growth of 2.3% month-on-month and a rise of 9.4% year-on-year.

“The continued rise in fuel, food and energy prices means consumers are having to budget and seek out value where they can for both essential and non-essential purchases,” says José Carvalho, head of consumer products at Barclaycard.

“While this cautionary approach is impacting supermarket and individual basket spend, there are bright spots to be found, with Brits increasing their discretionary spending on entertainment, travel and takeaways as we head into high summer.”

Overall, growth in consumer card spending continues to slow although it remains positive, according to Barclaycard. Spending in June was up 6.2% compared to the same period in 2021, but lower than in May (11.6%) and April (21.2%).

Despite uncertainty over potential flight cancellations, travel agents (6.4%), airlines (2.8%) and hotels, resorts and accommodation (3.3%) all saw monthly growth as holidaymakers booked getaways for the summer.

The entertainment industry benefitted from blockbuster bookings at the cinema, helped by Top Gun: Maverick and Jurassic World Dominion, resulting in a 5.3% boost compared to May 2022.

“The hospitality and entertainment sectors have had a tough few years, with lockdowns and now rising inflation, so it’s heartening to see that, for the moment at least, people are going out to eat and enjoying cinema shows again,” says financial expert Jasmine Birtles.