REVELLERS will spend less cash on booze over the festive period as consumer confidence remains muted, a study shows.
Nearly four in ten people expect to drink less than usual over Christmas which rises to just under half for 18-34 year-olds.
A report by Barclays reveals that of those knocking back less alcohol some 27 per cent are doing so to cut costs.
Drinkers have also noticed that tipples are being impacted by ‘drinkflation’ where drinks become smaller or contain less alcohol but cost the same or more than before.
The research also revealed that spending at bars, pubs and clubs was down by 1.5 per cent last month, according to the Barclays Consumer Spend study.
Half of the people surveyed revealed they had gone on fewer nights out this year as non-essential spend fell for the first time since July 2024.
Overall, consumer and economic confidence remained at 22 per cent for November which was the same as the month before.
Confidence in household finances improved slightly up one per cent to 64 per cent. But this was below the average of 70 per cent for the whole year.
It comes after Chancellor Rachel Reeves put the cost of living at the heart of her Budget plans.
The study found that non-essential spending fell for the first time since July last year. However, it was given a much-needed boost by Black Friday.
Retail spending overall fell by 1.1 per cent last month. Figures also revealed that consumer card spending was down 1.1 per cent year-on-year to November which was the greatest fall since February 2021.
Jack Meaning, Chief UK Economist at Barclays said: “Even with a boost from Black Friday, consumer spending remained muted as we moved through the final quarter of the year.
“2025 has been defined by this economic deceleration.
“The question remains as to whether easing interest rates and falling inflation can offset this trend and spur a rebound in consumer spending, or whether tightening fiscal policy and continued uncertainty will see the malaise continue in 2026.”
Karen Johnson, Head of Retail at Barclays, said: “November was a month marked by uncertainty, as consumers were awaiting seasonal discounts and the details of the Autumn Budget.
“Retailers will have welcomed the Black Friday boost they received, which will hopefully set the tone in the run up to Christmas.”
