Supermarkets Slump Under Labour3 Dec 2024 10:00
Spending on household essentials has fallen at its sharpest pace in five years as Budget gloom hits consumer confidence.
Supermarket spend fell 1.8pc last month, according to new figures from Barclays, while spending on essentials, including groceries and fuel, were down 3.1pc over the month.
This was the steepest drop since 2019 when Barclays first started collecting the data.
Two thirds of people are looking for ways to reduce the cost of their weekly shop, according to Barclays, which cited growing concerns among shoppers about the state of the UK economy.
Spending on debit and credit cards was down by 0.5pc in November compared to last year. Jack Meaning, chief UK economist at Barclays, said: “Understandably, a number of factors weighed on consumer spending in November, notably easing consumer confidence post-summer, and expectations that post-Budget, inflation and interest rates will stay higher in the coming months.”
Confidence in the UK and global economies tumbled last month, Barclays said, while more people were concerned about inflation.
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