Brits to go on £38bn spending spree this summer
Research by Virgin Money found two thirds of UK adults have saved money since lockdown began, setting aside £117bn altogether – or £2,100 each.
Over two fifths (41 per cent) have also wiped off a total of £59bn of debt, which equates to £1,091 on average per person.
Now with Freedom Day delayed – but approaching – Brits are eager to splash the cash, with almost a quarter (23 per cent) planning to spend more frivolously and more than two fifths (44 per cent) wanting to treat themselves after a tough year.
Indeed, Oxford Economics predicts that £75bn more will be spent across the UK this summer compared to last summer.
Holidays top the list
The study of 2,000 people by Virgin Money revealed holidays are top priority for summer spending with over half (56 per cent) of Brits collectively expecting to pay out £25bn on well-deserved breaks.
Going to bars and restaurants is also high priority for nearly three quarters (72 per cent) of people, who expect to each spend £233 on hospitality over the summer months.
Dressing the part for holidays and hospitality (73 per cent) is equally as important, with £214 per person expected to be spent on summer fashion.
Spending data from Virgin Money shows priorities have changed as restrictions have eased. Between March and May, there was a 91 per cent increase in spending on fashion and a 107 per cent increase in number of fashion-related transactions. Spend on holidays was up 84 per cent, eating out up 59 percent and travel up 25 per cent.
In contrast, spend on groceries was down 12 per cent and technology down 9 per cent as people enjoyed life more outside their homes.
Fergus Murphy, chief customer experience officer at Virgin Money, said: “Nothing will stop us making the most of summer and enjoying all the things we can while we wait for Freedom Day to finally arrive. It’s brilliant that so much has been saved since lockdown and hopefully that can continue, but it’s also fantastic that we can finally enjoy and reward ourselves after a really tough time.”