Britons Stay Downbeat About Their Finances In September – IHS Markit

Job worries intensified for the first time since the depth of the pandemic, as a government support scheme for several million workers ends next month with no replacement in sight.

“September data also signalled reductions in household spending, savings and cash availability, all of which highlight the crunch on finances at present,” IHS Markit economist Lewis Cooper said.

The downbeat tone of the report contrasts with consumers’ spending behaviour in recent months. Retail sales exceeded pre-pandemic levels in July and August, and restaurants reported strong take-up of a government incentive to dine out.

For some households, savings rose considerably during the lockdown as outgoings for commuting fell sharply and there were few chances to spend on holidays or socialising.