Barclays annual report shows that, despite a decline in card payments in the United Kingdom, the travel sector remained resilient, with increased spending and a shift toward off-peak travel and AI-powered trip planning.
The travel sector remained resilient in 2025, according to Barclays annual consumer spending report based on card transactions in the UK, in a year when overall card payments recorded a slight decline.
The report, which is based on credit card transactions during the period from 25 December 2024 to 21 November 2025, records a 0.2% decrease in card spending, compared with an increase of 1.6% in 2024 and 4.1% in 2023.
Increase in travel spending, fewer transactions
Despite this less favorable environment, travel spending increased by 2.7%, confirming the sectors momentum, although this was lower than the 6.9% growth recorded in 2024.
Although total travel spending rose in 2025, the number of travel-related transactions fell by 3%. In partnerships with travel agencies, performance was positive, with spending up by 3.2% and transaction volumes increasing by 8.1%.
Average annual travel spending per consumer reached £1,158. However, 54% opted for off-peak or shoulder-season travel in order to limit costs.
Britons travel more smartly.
At the same time, 27% of travelers used AI tools for planning and budgeting, 35% used them to create itineraries, 32% for searching and selecting destinations, 30% for translation, and 27% for comparing prices and offers.
In air transport, spending increased by 2.8%, while transactions declined by 5.7%, indicating a possible rise in the cost per booking.
Broader environment of low confidence
The report highlights that confidence in the UK economy remained low throughout 2025, with only 24% of adults stating they were optimistic about the macroeconomic outlook.
Nevertheless, certain categories recorded strong demand. The top-performing sector of the year was pharmaceuticals, health, and beauty, with growth of 9.5%. Entertainment (+4.3%) and digital subscriptions (+4.3%) also saw notable increases.
Overall, the number of transactions across all categories fell by 1.2%. Spending on essential goods declined by 2.3%, while non-essential goods recorded a marginal increase of 0.8%.
