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Furniture store card spending rises despite cautious consumer outlook

Consumer card spending in furniture stores increased by 6.7% in July 2025 compared to the same period last year, according to Barclays' Consumer Spending Index. Transaction growth also saw a modest rise of 0.9%. This growth contrasts with declines in other retail sectors such as home improvement and DIY stores, which experienced a 0.8% drop in spending and a 7.4% fall in transactions. Department stores and discount stores similarly saw decreases in spending and transactions, while garden centres had a slight increase in spending but fewer transactions.

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Overall consumer card spending grew by 1.4% year-on-year in July, up from a slight decline in June, but still lagged behind the CPIH inflation rate of 4.1%. Essential spending declined by 0.7%, whereas discretionary spending rose by 2.4%, reflecting consumers' adaptability amid variable weather conditions.

Karen Johnson, Head of Retail at Barclays, noted that the combination of summer sales, unpredictable weather, and a desire for a "feel-good factor" contributed to strong retail performance, especially in beauty, clothing, and furniture sectors. She added that cautious consumer confidence and the increased use of AI budgeting tools are helping maintain resilience in household finances.

Source: www.bigfurnituregroup.com

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