Consumer Spending Holding Up Post-Brexit: Barclays

Despite the economic uncertainty in the immediate aftermath of the U.K. referendum, consumer spending is holding up comparatively with an increase of 2.14% versus the prior week, reports Barclays. However, Dennis Jose and colleagues highlight in their July 12 research piece titled “Post Brexit: No slowdown yet” that consumers might have adopted a cautious mindset around discretionary spending in the days after the referendum result, despite consumer confidence collapsing to its lowest rate in 22 years.

Consumer spending growth remained steady

After digging through the latest Barclaycard data, Jose and team point out that consumer spending growth has remained level at 3.6% y/y in June, which is the same rate of spending growth witnessed in May. The analysts point out that...