The FINANCIAL — New figures from Barclays predict that a total of £47 billion will be spent on debit cards during December this year, as consumers use them to spend a record £31.9 billion and withdraw a £14.9 billion of cash from ATMs, according to Barclays.
The FINANCIAL — New figures from Barclays predict that a total of £47 billion will be spent on debit cards during December this year, as consumers use them to spend a record £31.9 billion and withdraw a £14.9 billion of cash from ATMs, according to Barclays.
Meanwhile Barclaycard, which processes nearly half of all the UK’s debit and credit card transactions2, expects shoppers to spend more this Christmas than last as its latest data shows consumer spending up +2.8% on last year.
Supermarkets are set to take £5.6 billion over the festive season, whilst £1.4 billion is predicted to be spent on clothing and £740 million at department stores, with revellers hitting the shops in the busy final weekend before Christmas, updating their festive wardrobes and buying last-minute gifts. A further £890 million is predicted to be spent at restaurants, as consumers give themselves a break from the kitchen, according to Barclays.
It comes as early indicators from Barclaycard show that consumer spending is up +2.8% so far this Christmas3, compared to last. This year’s Mega Monday saw total spending up +4.3% year-on-year, with online spending on the day up +9.7% on 2012 and accounting for nearly a third of all spending (29.5%) for the first time ever.
The growth was led by extra spending online on Family Clothing (+26%) and Electronics (+20.4%). Gaming also performed particularly strongly, up +39% overall with the late-November release of Microsoft’s X-Box One and Sony’s PS4 game consoles.
Barclays expects the busiest day for ATM withdrawals to be Friday 20th December, with over £1 billion being dispensed that day in preparation for a festive night out and the last weekend of Christmas shopping. The peak time for withdrawing cash is forecast to be between 12noon and 1pm, with £27,000 being taken out every second.
And despite the crowds, over 15 million4 of UK adults (31%) plan to go Christmas shopping this Saturday, according to new research from Barclaycard5, spending an average of £196 each on last minute gifts, food, drink and other festive fare.
Men (33%) are more likely than women (30%) to be shopping this Saturday. Amongst those shopping this Saturday men are likely to spend £243 on average, nearly £100 more than women who are likely to spend on average of £149, according to Barclays.
Top reasons why people will be shopping on Saturday 21st December:
I’m quite organised, and I will have bought the majority of my presents already. This shopping trip will be for the final few items (25%)
All my main presents will have been bought, but I will be shopping for stocking fillers and extra presents to store at home in case I need them (16%)
I have done all of my present shopping, but I still have to buy food/ decorations or other Christmas related items (16%)
I will have bought a few presents already, but will still have the majority left to buy (15%)
I like to leave things to the last minute, and so this will be my first day of Christmas shopping – I will try and get it all done in one day (9%)
I’ll have bought all my presents, and just want to go shopping to revel in the festive spirit (6%)
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