Spending declines in September, but rise of ‘treat purchases’ boosts some

Overall Retail spending declined -0.1% in September 2025 when compared to this time last year, a fall compared to August 2025 (0.6%). However, despite broader cutbacks, multiple non-essential categories benefited from ‘pick-me-up’ purchases. Furniture Stores enjoyed their tenth consecutive month of growth, whilst Clothing retailers marked eight months of year-on-year growth, with spend in this category expected to rise ahead of retail’s ‘Golden Quarter’.

Spend in the overall Hospitality & Leisure sector increased by 0.4% in September 2025, a fall compared to August 2025 (2.5%), as consumers sought to reduce non-essential costs. One of the categories which dipped as a result was Takeaways and Fast Food, with 53% of those looking to reduce discretionary outgoings planning to spend less ordering meals “on-demand”. Nonetheless, consumers still found ways to treat themselves, even when on a budget, with many opting to buy ingredients to make home-made treats.

Hospitality and Leisure

Consumers balance budgets while finding room for treats

Overall Hospitality & Leisure spending saw muted growth of 0.4% in September 2025, a decline compared to August 2025 (2.5%), as consumer reined in discretionary spending. Of those consumers planning to cut discretionary spending (45%), over half (53%) said that they would order fewer takeaways, with spend on Takeaways and Fast Food declining by -0.6%in the month.

However, 43% of consumers are still treating themselves regularly, but finding ways to do it on a budget. Of this group, a quarter (24%) are opting to buy ingredients to make home-made treats, which likely contributed to the 1.5% growth at Food & Drink Specialist stores.  

Meanwhile, the Travel category saw marginal growth of 0.8% in September 2025, a fall compared to August 2025 (3.1%). Within this, Travel Agents had the strongest performance, up 4.2%, although spend at Airlines declined (-4.3%) for the first time in over four years. Looking ahead, 38% of those planning to cut non-essential spending say they will spend less on holidays abroad.

Rich Robinson, Head of Hospitality and Leisure, Barclays Corporate Banking, said: "Hospitality & Leisure spend softened in September as consumers reined in discretionary purchases. However, consumers continued to treat themselves on a budget, swapping takeaways for homemade indulgences, while the strike action in London influenced spending habits across multiple categories."