July UK Consumer Spending Rises on World Cup Fever and Staycations

In July, UK consumers increased out-of-home and leisure spending as England’s run to the FIFA World Cup semi-finals coincided with warm weather. Barclays data show a 10 % jump in transactions at bars, pubs and clubs, while the broader hospitality and leisure sector recorded a 2.2 % rise and accommodation bookings grew 2.6 % as holidaymakers favoured domestic “staycations.” Airline spend fell, reflecting the shift toward local travel.

World Cup and staycations drive July increase in consumer spending

• Bar and pub transactions: +10 % (Barclays)

World Cup and staycations drive July increase in consumer spending

• Hospitality & leisure overall: +2.2 % (Barclays)

World Cup and staycations drive July increase in consumer spending

• Accommodation bookings: +2.6 % (Barclays)

World Cup and staycations drive July increase in consumer spending

• Retail sales (BRC): +1.3 % for the period Jul 5 – Aug 1

UK consumers spent more on food and in pubs during World Cup in July

• Food sales: +3.8 % (BRC); Non-food: –0.7 %

UK consumers spent more on food and in pubs during World Cup in July

• Essential spending: +2.9 %; Non-essential: +1.6 % (Barclays)

World Cup and staycations drive July increase in consumer spending

• Travel spend: domestic staycations up, airline spend down 6 %

World Cup and staycations drive July increase in consumer spending

• Barclays consumer-confidence gauge: +2 % versus June’s +1.9 %

UK consumers spent more on food and in pubs during World Cup in July

Barclays’ head of spend insights, Rohan Kumar, highlighted the combined effect of staycations, warm weather and the World Cup on consumer behaviour:

World Cup and staycations drive July increase in consumer spending

“Card spending strengthened further in July, reaching its highest level for 12 months, with both essential and non-essential spend remaining in growth. Multiple factors played a part, with UK staycations, continued warm weather and England’s World Cup run lifting spending on travel, hospitality, everyday essentials and seasonal retail categories.” — April. Rohan Kumar, head of spend insights at Barclays

World Cup and staycations drive July increase in consumer spending UK consumers spent more on food and in pubs during World Cup in July

While confidence in the UK economy reached a 21-month high in July, the same data show consumers remain cautious about larger expenditures. The rise in essential and non-essential spend suggests short-term optimism, but Bradbury’s concerns point to potential budget pressure as food prices climb into autumn. Policymakers and retailers will need to monitor supply-chain stresses while capitalising on the continued demand for domestic leisure and staycation travel.

World Cup and staycations drive July increase in consumer spending