In a significant shift in the UK economic landscape, consumer credit levels decreased by £201 million in September, settling at £1.491 billion, according to the Bank of England. This marks a noticeable decline from August's figures, where consumer credit was reported at £1.692 billion.
The latest data, updated on 29 October 2025, indicates a potential contraction in consumer spending power and borrowing behavior. This development could have wide-ranging implications for the UK's retail market and overall economic health as the festive season approaches. Economists and market analysts are closely observing these trends to understand the underlying factors contributing to this decline in consumer credit. As households potentially tighten their belts, the onus now will be on policy adjustments to invigorate consumer confidence and spending over the coming months.
