Year-on-year credit card spending jumped in July and August

Overall, spending hit £825 in July and £830 in August this year – up £35 and £20 respectively on the £790 and £810 average spend recorded during the same months in 2022. Average credit card balances, meanwhile, increased slightly in July to £1,710 and in August to £1,729 – continuing the upward trend seen over the last two years.  

In contrast – although the percentage of payments to balance has increased from 38% in June to 38.7% in August, it remains at a much lower level than during the same period last year.  

As for the number of customers missing one, two and three payments year-on-year, this has risen – with customers missing two payments 11.9% higher while those missing three payments is at a worrying 20.3% higher.

Meanwhile, the use of credit cards to take out cash hit 3.6% in July and four percent in August. And while this is still significantly lower than the six percent seen before the Covid pandemic, cash usage has been steadily increasing since March.