Pub spend up 8% in December

Spending on non-essential items rose 2.5% in December 2023, as festive activities and celebrations boosted the hospitality and leisure sector.

Christmas parties and gatherings fuelled spending at pubs, bars and clubs, delivering an increase of 7.9%, while restaurants, though still in decline (-8.8%), had their best month since August 2023.

Aside from the strikes at the beginning of the month, the comparatively smooth running of transport networks helped the sector in December, compared to 2022 when larger industrial action hampered Christmas plans. 

According to Barclays data, overall consumer card spending grew 2.3% year-on-year in December, less than the latest CPIH inflation rate of 4.2% and lower than November’s growth of 2.9%. Retail spending struggled to maintain the momentum it had built up in November through early seasonal discounts, while entertainment and travel thrived as consumers booked experiences and getaways for 2024. 

Spending on entertainment and New Year goals

The entertainment sector was a particular bright spot, seeing noticeable growth (12.3%) following a -1.7% decline in November. This included shows and concerts, which grew 13.9%, as Brits snapped up tickets for Glastonbury Festival, which were released two weeks later than usual, as well as for Christmas pantomimes and shows. 

Friday 22 December was especially busy and saw Barclays set an all-time record for transactions processed per-second, as many Brits celebrated finishing work for the year in pubs and bars and sought out last-minute gifts.

When it comes to the year ahead, nearly one in five (18%) is planning to take part in Dry January, citing being healthier (50%), saving money (42%), and wanting to drink less alcohol (30%) as their main reasons for participating. Dry January participants expect to save an average of £48.90 over the course of the month by cutting back and switching to non-alcoholic alternatives.

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