In April, consumer card spending grew 4.5 per cent year-on-year, which is the largest increase seen since September 2023 and represents a significant uplift from March’s figure of 0.5 per cent. This growth also exceeded the most recent CPIH inflation rate (3.4 per cent) for the first time in over two years.

Boosted by the Easter weekend and the plentiful sunshine, essential spending returned to growth after two months of decline, at 3.1 per cent. The rise in non-essential spending reached 5.1 per cent – significantly higher than March’s 2.2 per cent increase, and the highest growth seen since 2023. 

A lasting trend tracked by our research is consumers looking to squeeze the cost of their weekly shop. Two thirds (65 per cent) of respondents told us they were actively looking for ways to get better value from their weekly shop. This group lists seeking out discounted products (61 per cent), making use of loyalty schemes (57 per cent), and choosing to shop at discount supermarkets (44 per cent) among their cost-cutting methods.

Supermarkets are adapting quickly in a bid to attract customers, and in April, spending moved back into growth, with the overall grocery category up 6.1 per cent – its highest increase in 18 months. 

One month on from the announcement of ‘Liberation Day’ tariffs, consumers are planning ahead, anticipating the effect tariffs might have.  

More than seven in 10 UK consumers (72 per cent) surveyed in late April said they were concerned about the impact they may have on their household finances. While that figure represents a drop of five percentage points from research conducted between 8^th-11^th April, it shows that the uncertainty around tariffs is still playing on people’s minds.

As well as this, more than half (53 per cent) are concerned about the impact of stock market fluctuations on household finances, and, in order to be ready for any fallout, over a quarter (27 per cent) of respondents have said they are trying to save more money each month to build up a buffer in case prices rise in the future. 

Speaking about this, Julien Lafargue, Chief Market Strategist, Barclays Private Bank and Wealth Management, said: “While the world continues to grapple with unprecedented levels of trade uncertainty, UK economic sentiment has been surprisingly positive recently, supported by a resilient consumer. The recent decision by the Bank of England to further lower interest rates should add to this momentum.”

He continued: “Similarly, the trade agreement reached between the US and the UK should provide some much-needed visibility to businesses. That said, growth is likely to remain muted in absolute terms. These positive developments may only partially offset the consequences of a softer labour market, and a challenging economic backdrop in the rest of the world.”

In the wake of this news, almost seven in 10 (68 per cent) UK consumers say they want to support UK businesses by buying more products that are “Made in Britain”.

Perhaps inspired by the arrival of so much sunshine, almost three in five (59 per cent) consumers say they plan to buy more local and/or seasonal British food. When asked about the UK products they are most likely to switch over to, fruit and vegetables topped the list (46 per cent), followed by dairy products and meat (both 39 per cent). Further down the list were seafood (29 per cent), clothing and accessories (27 per cent) and alcoholic drinks (20 per cent). 

One in eight (12 per cent) respondents told us that they are willing to pay a premium for British or local products and brands, and, when averaged out, this group is happy to pay 22 per cent more.  

Speaking about this, Karen Johnson, Head of Retail at Barclays, said: “While the long-term impact of any tariffs on household finances remains to be seen, given Thursday’s announcement of a UK/US trade deal, shoppers are demonstrating a commitment to supporting British business, while still carefully managing their money.”

Despite ongoing economic uncertainty, in April, consumers’ confidence in their household finances (70 per cent) and ability to live within their means (74 per cent) remained consistent with March’s figures (70 per cent and 73 per cent respectively). This confidence is reflected in non-essential spending, which was up 4.5 per cent year-on-year, significantly higher than March’s 2.2 per cent increase, and the highest growth since 2023.