UK consumer spending slumps during latest lockdown

UK consumer spending and retail sales fell in January at the fastest pace since May, suggesting the economy has been hit harder by the current lockdown than November’s restrictions despite people switching to online shopping. Consumer spending fell 16.3 per cent in January compared with the same month last year, the largest annual drop since the spring, according to Barclaycard data, tracking nearly half of all UK credit and debit card transactions. The drop was much sharper than the 1.9 per cent fall in November and it is consistent with the economy shrinking more severely than the 2.6 per cent contraction registered during that previous lockdown period.