Spending with travel agents bounced back in June after three consecutive months of decline, according to new data from Barclays
After falling -5.7 per cent and -5.8 per cent respectively in April and May, overall travel spending showed signs of recovery in June, down just -0.1 per cent. Airline spend declined -5.4 per cent, but travel agents returned to growth (1.9 per cent).
Meanwhile, hotels, resorts and accommodation climbed 1.7 per cent, which comes as 26 per cent of consumers say they’re taking a staycation in 2026, up from 19 per cent in April. After June temperatures reached record highs of 37 degrees in some parts of the UK, retail spending reached an 11-month peak, up 1.9 per cent.
The data comes from Barclays’ Consumer Spend research of 2,000 Brits, which was carried out between 26-30 June 2026. Consumer card spending in total grew by 1.9 per cent year-on-year in June, a marked improvement on May’s 0.8 per cent growth, but below the latest CPIH inflation rate of 3.0 per cent.
Non-essential spending increased 1.7 per cent, while growth in essential spending reached a 14-month high, up 2.2 per cent. The uplift, Barclays said, was driven by a combination of stabilising consumer confidence, warm and sunny weather, and the arrival of the World Cup, which boosted several categories including pubs, clothing and general retail.
Consumers appear to be separating their own finances from the wider economic picture: 39 per cent agree their personal financial situation is more stable than the UK’s overall, while 44 per cent say they feel financially resilient despite concerns about the UK economy.
Rohan Kumar, head of spend insights at Barclays, said: “Card spending saw further uplift in June, with both essential and non-essential categories recording stronger growth. Record temperatures, stabilising consumer confidence and the start of the World Cup helped drive a broad-based increase in activity, boosting spending across everyday essentials, summer purchases and social occasions.”
Jack Meaning, chief UK economist at Barclays, added: “While additional spending around the World Cup will be a welcome cushion for the hospitality sector, it remains true that the economy has slowed into the middle of the year. Looking ahead to the second half of 2026, we expect growth to pick up modestly, as improving consumer sentiment and reduced uncertainty are partially offset by the temporary inflation bump.”
