Consumer spending on eating out is increasing as confidence begins to return to UK households, according to Deloitte.
The Deloitte Consumer Tracker revealed that in Q2 2013 consumer sentiment about levels of disposable income, debt levels and job security reached their highest levels since the survey was launched in 2011. As a result consumers have started to become less defensive with their spending.
In the three months to the end of June 2013 there was an increase of four percentage points (up from a net balance of -17% to -13%) in the number of consumers saying they had spent more in restaurants and hotels (eating out and short breaks) than in the same period last year.
The tracker also showed an increase of three percentage points (up from a net balance of -19% to -16%) in the number of consumers expecting to spend more in this category over the next three months.
“Fewer are trading down, bargain hunting or buying on sale compared to the same period a year ago,” said the report’s author, research manager Céline Fenech. “The service sector is already benefiting from this shift in consumer behaviour. Leisure activity is picking up as consumers look for affordable treats. According to the research spending on restaurants and short breaks is increasing.”
The Deloitte Consumer Tracker is a survey of 3,000 UK adults conducted quarterly on behalf of Deloitte by YouGov.
