UK travel spending returned to growth in August, rising 3.1% year-on-year after five consecutive months of decline, according to the latest Barclays UK Consumer Spend Report.
The report, which analyses UK customers’ credit and debit card spending, reveals airline spending increased 3.5%, marking its first growth since August 2025, while spending with travel agents rose 4.4%. In July, agents saw a 2.5% growth in spend.Â
Accommodation spending also grew in August, up 3.3% across hotels, resorts and other accommodation providers.
The rebound came as overall UK consumer card spending increased 2.1% year-on-year in August, which marked its strongest growth rate in 13 months.
However, the Barclays consumer spend data also revealed value remains a key consideration for holidaymakers, with 14% of consumers saying they were actively looking for travel discounts, offers and last-minute deals.
The report also found that more consumers were opting for UK staycations, with 36% choosing to holiday domestically in 2026 compared with 33% travelling abroad.
Barclays said the figures suggest there remains ‘considerable appetite’ for holidays despite a challenging year for the travel sector.
Head of Spend Insights Rohan Kumar said: “August’s figures suggest consumer momentum continued to build at the end of summer.
“Spending growth reached a 13-month high, confidence in household finances improved and travel returned to growth after five consecutive monthly declines.
“Consumers continued to prioritise travel, entertainment and other leisure experiences, but remained highly focused on value. Concerns about rising prices, added charges and declining product quality continue to influence spending decisions.
“That balance is likely to remain important through the autumn. Households may be feeling more secure about their own finances, but they are still making careful choices about which purchases are worth prioritising.”
Chief UK Economist Jack Meaning added: “Consumer spending and confidence remained resilient in August, even as pressures from the Middle East began to filter into prices. This positive news suggests consumers should be able to weather the bout of narrowly focused, temporary inflation we think is coming down the track. However this week has shown risk remains.
“If the situation in the Middle East persists or intensifies in the coming months, squeezed households may need to be even more discerning with their spend.”
