Credit cards increasingly used to fund Brits’ good life
UK consumers are increasingly living the high life, with credit card used to fund regular restaurant visits and the purchasing of luxury goods, it has been reported.
According to the most recent research carried out by Mintel, consumer spending rose to a record £1.09 trillion in 2006.
While home purchases continued to represent the biggest financial outlay by Britons, accounting for £4 in every £10 spent over the year, increasing amounts were also spent on luxury goods and lifestyle choices, such as holidays.
Of those questioned as part of the study, 23 per cent claimed that they were planning to take a major foreign break over the next year, while the amount spent on eating out grew by 18 per cent in comparison to 2002 levels.
“Rising disposable income has led to higher expectations about the quality of life, and as a result we are increasingly trading up and spending more on better quality, premium products and services,” said Neil Mason, senior retail analyst at Mintel.
Recent figures from the life assistance company CPP revealed that the average UK consumer will spend £157,530 on credit card over their lifetimes, with plastic being increasingly used to fund smaller, everyday purchases.