Airlines went into rally mode on Wednesday, with British Airways owner International Consolidated Airlines Group SA (LSE:IAG) and budget carrier easyJet plc at the top of the FTSE 100 movers list.
TBS’s latest ‘How Britain Spends’ report is likely to have provided the tailwinds.
According to TSB data, there was a 9.2% increase in spending with airline and travel companies in the first six months of 2024 compared to the same period in 2023.
It shows that Brits are choosing to “spend on rollercoasters and beaches over new clothes or DIY”, said TSB (yesterday’s sluggish BRC Retail Sales Monitor print supported this thesis).
“While many household budgets are under pressure, consumers are remaining optimistic – with many prioritising spend on treats such as holidays and entertainment,” said Delphine Emenyonu, head of loans and credit cards at TSB.
“Consumers are feeling more confident about their finances, and with a potential interest rate cut later in August, we may see increased spending levels in the second half of the year.”
Spending on entertainment items including concert tickets, theme parks and the cinema was up 5.1%, while pub spending increased by 7.2%.