Report shows spending power boost

A new report published by Lloyds TSB has shown a slight rise in consumers' spending power in the UK over the second quarter of this year.

There was a 0.4% year-on-year rise in discretionary spending power at the end of last month.

The Lloyds TSB Spending Power Report said that in spite of the slight improvement in spending power, consumers are still worried about their financial situation. Over half (53%) of consumers in the UK do not consider their personal financial situation to be good.

The report also showed a 3.3% increase in spending on essential goods in June. However, debt repayments declined 1.7% during the period.

According to Lloyds TSB, 13% of consumers on the tightest budgets were dipping into their savings to cover spending towards the end of June, due to soaring prices. This figure compares with 9% of consumers who raided their savings pots in May.

Patrick Foley, chief economist at Lloyds TSB, said: "If this improving trend continues then consumers' financial position will be significantly better in the second half of the year."

Back to blog home


All content is for informational purposes only and is the opinion of the author. Nothing on this website should be interpreted as "advice". Money Dashboard Ltd make no representations as to the accuracy, completeness, suitability or validity of any information on this site and will not be liable for any errors or omissions or any damages arising from its display or use.

Get started with Money Dashboard

Money Dashboard will help you discover where your money is going, start saving and plan for the future - for free

Related articles

Download app
Join 600,000+ people on Money Dashboard
Sign up - it's free