In keeping with the identical supply, the steepest discount was seen in Transport & Communication (-6.1% year-on-year), adopted by Clothes & Footwear classes (-5.2%). Furthermore, the latter noticed the second-fastest drop in spending since April 2012 (after Could this yr).
Visa UK and Eire Managing Director, Kevin Jenkins highlighted the continued strain on family’s earnings: “Client spend fell for the third month in a row in July, the primary time general spending had fallen for 3 consecutive months since February 2013. The determine gives additional proof that rising costs and stagnant wage progress are squeezing customers’ pockets. The drop in spending was felt throughout a broader vary of retail sectors final month, with clothes, family items, meals and transport among the many worst hit.
In keeping with the identical supply rising costs and stagnant wage progress are impacting the UK customers selections. Decreasing spending additionally takes place in a time when the UK financial system is increasing modestly, whereas uncertainties within the worldwide markets proceed to be felt, and the uncertain consequence of the continuing Brexit negotiations are weighing down on client’s confidence.