Credit card spending in January 2018 was 5.8% higher than what it was in January 2017, UK Finance has found. However, due to higher repayment levels, the pace of borrowing saw a minor change with an annual growth of 4.8%.
UK Finance managing director of personal finance Eric Leenders commented: “January saw higher levels of repayments on credit cards, which is expected at this time of year as customers pay off their festive spending.
“Meanwhile, households were careful with their outgoings as wage growth remains below the inflation rate.”
The firm estimated that gross mortgage lending in January 2018 was £21.9bn, 9.7% more than the prior year, and slightly more than the monthly average of £21.4bn seen throughout 2017.
Leenders further commented: “Customers took advantage of the mortgage deals on offer at the end of 2017.”
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