High Street Struggles, Online Sales Hold Up

  • Consumer spending declined by 1% in December according to Visa’s UK Consumer Spending Index
  • The decline was the fastest since April
  • High street spending fell by 1.6% year-on-year
  • Online spending rose by 0.5% year-on-year
  • Household spending failed to pick up in Q4 2018 due to Brexit uncertainty

Consumer spending in the UK continued to decline in December, with a 1% drop according to Visa’s UK Consumer Spending Index. This marks the fastest decline since April and follows a 0.7% decrease in November. High street spending fell by 1.6%, while online sales increased by just 0.5%. The report suggests that some categories, such as hotels, restaurants, and bars, are holding up better than the overall market. However, consumer confidence remains low due to Brexit uncertainty.

Factuality Level: 9
Factuality Justification: The article provides accurate and objective information about consumer spending trends based on data from Visa’s UK Consumer Spending Index compiled by IHS Markit. It includes relevant details about the decline in expenditure, the reasons behind it, and expert opinions. The article is not sensationalist or misleading, and does not include any personal perspective presented as a universally accepted truth.
Noise Level: 3
Noise Justification: The article provides relevant information about consumer spending trends and offers some analysis on the factors contributing to the decline, such as uncertainty around Brexit and weak consumer confidence. It also highlights a few positive aspects like the growth in online spending and hospitality. However, it could benefit from more in-depth analysis or data to support its claims and provide actionable insights for readers.
Financial Relevance: Yes
Financial Markets Impacted: UK consumer spending and retail sector
Financial Rating Justification: The article discusses a decline in consumer spending, which can impact businesses and the overall economy, affecting financial markets such as stocks of retail companies.
Presence Of Extreme Event: No
Nature Of Extreme Event: No
Impact Rating Of The Extreme Event: No
Extreme Rating Justification:

Reported publicly: www.retailsector.co.uk