UK factory output hits four-month high as mortgage approvals stagnate – Business Live | Business

The nation has gotten a head start on its Christmas shopping this year, with the combination of Black Friday discounts, and concerns about delivery delays and stockouts, meaning spending increased in November. . The nation is quickly forgetting about its frugal foreclosure methods, with borrowing increasing and the amount we have hidden in savings decreasing, even from pre-pandemic levels.

Britons turned to plastic for their pre-Christmas shopping, with £ 900million added to credit card debt in November, bringing total net borrowing in the month to £ 1.2bn sterling – the highest level since the lockdown was eased in July 2020. This is in stark contrast to November of last year, when the British paid off £ 915million in credit card debt rather than ” increase their borrowing. It even appears high compared to the pre-pandemic December peak of £ 681million spent on plastic in December 2019.

The good saving habits of many people during the lockdown also showed signs of abating in November, with the amount saved in cash accounts below pre-pandemic levels. In November, £ 4.5bn was saved in banks and mortgage company accounts and a further £ 200m with NS&I, 60% below the 12-month average.

The average interest rate on these savings only increased by 1 basis point during the month, showing why the country’s enthusiasm for saving might run out of steam, as they are rewarded with returns if lean. We will see this interest figure rise slightly in the December data, following the Bank of England rate hike, but it is unlikely to be enough to spark a savings revolution within. population.


Source link

Comments are closed.