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The Markets
by Proactive
Proactive UK has moved.
Coverage of London’s small caps continues on proactiveinvestors.com
Go to Proactive UK
The Markets
by Proactive
Proactive UK has moved.
Small-cap coverage continues on .com
Go to Proactive UK
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The Markets
by Proactive
Proactive UK has moved.
Small-cap coverage continues on .com
Go to Proactive UK

Finance

Credit card spending climbs as balances rise despite flat overall card use

UK consumers put more on their credit cards in May, even as overall card spending edged lower, according to the latest figures from UK Finance.

There were 396 million credit card transactions in the month, up 6.2% on a year earlier, with spending rising 4.7% to £23.4 billion.

Debit card volumes also grew, 1.6% higher at 1.87 billion transactions, but the total value slipped 2.7% to £52.1 billion. Across all cards, spending in the UK amounted to £75.5 billion, down 0.5% on May 2024.

Outstanding balances on credit cards rose 6.4% year-on-year, with nearly half, 47.5%, incurring interest charges. That proportion was slightly lower than the 48.9% a year earlier.

Contactless payments continued to dominate, accounting for 77% of debit and 67% of credit card transactions. The total value of tap and go payments was £27.3 billion, a 5.1% increase from last year.

The figures underline a mixed picture: households are continuing to spend but leaning more on credit, while falling debit card values suggest a degree of caution. UK Finance said its next update will be published on 16 September.

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