Payment Card Spending Rose In UK During November

Payment card spending in the U.K. increased 1 percent during the month of November to hit £56 billion, thanks in part to an increase in debit card spending. According to The UK Cards Association, the 1 percent increase in November was driven by a £476 million rise in debit card spending.

What’s more, the trade association found £13.2 billion was spent online during November, including Black Friday and Cyber Monday, marking the highest level since record-taking began three years ago and representing 24 percent of total card spending in November. Delving into different aspects of credit card spending during November, The UK Cards Association found retail sector card spending grew by £129 million in November to £25.5 billion. Service sector card spending rose £402 million to £30.5 billion. Money spent on toys, hobbies, games and at department stores had the highest monthly growth in November, rising 68 percent and 34 percent, respectively, as the Christmas shopping season kicked off. Debit and credit cards accounted for 76.7 percent of all retail sales in November. For the year, annual debit card spending grew 4.6 percent and was double the annual growth of credit card spending, which saw a 2.3 percent increase.

“November saw the strongest monthly growth in card spending in four months, with debit cards accounting for most of the increase at the start of the Christmas shopping season. The record spend online highlights the importance of card payments in internet retail and the wider economy, too,” said Richard Koch, head of policy at The UK Cards Association, in the press release.

The U.K. isn’t the only country to see an uptick in spending both in November and during the holidays. Retailers in the U.S. also experience growth driven by eTailers, including Amazon and eBay. Department store operators suffered with foot traffic down, causing Macy’s to announce headcount cuts and Kohl’s to pre-announce earnings.