In the latest release from the UK’s National Statistics, covering the period from April to June 2023, household spending trends reveal interesting dynamics in the nation’s economic landscape. Here are the key points:
1. Quarter 2, 2023 Growth:
- Household spending, adjusted for inflation, experienced a modest growth of 0.5% compared to the previous quarter (Jan to Mar 2023).
- In comparison to the same quarter in 2022, there was an overall increase of 0.2% in household spending.
2. Sectoral Contributions:
- Positive Growth from Transport: The most significant positive contribution to growth in Quarter 2, 2023, came from the transport sector, showing a substantial 1.8% increase compared to the previous quarter.
- Decline in Clothing and Footwear: Conversely, the largest negative contribution to growth was from clothing and footwear, witnessing a 2.4% decrease from Quarter 1, 2023.
3. Post-COVID Comparison:
- When compared to the pre-COVID period in Q4 2019, household spending has decreased by 1.0%.
4. Data on Consumer Trends:
- The release includes various datasets, such as current price data (seasonally adjusted and not), chained volume measures, and implied deflator, offering a comprehensive view of household expenditure in the UK.
5. Measuring the Data:
- Quarterly consumer trends data are typically published approximately 90 days after the end of the quarter.
- Data within this release are consistent with the UK National Accounts, The Blue Book: 2023, with revisions possible until its release on October 31, 2023.
- The reference year and last base year for all chained volume measure estimates are 2019.
6. Impact of COVID-19:
- Estimates of Household Final Consumption Expenditure (HHFCE) since Q1 2020 are subject to increased uncertainty due to challenges in data collection imposed by government restrictions and the impact of the COVID-19 pandemic.
7. Next Release:
- The next release is scheduled for December 22, 2023.
This data provides valuable insights into the consumer landscape, reflecting the resilience of certain sectors and the ongoing impact of the pandemic on household spending patterns. Stay tuned for further updates on the UK’s economic trends.