Credit card spend dips

CReDIT card spending plunged 50pc at the beginning of lockdown.

In April, the first full month of restrictions, the value of transactions completed on credit cards tumbled to £8.7bn from £16.9bn a year earlier.

The number of times shoppers used their credit cards also slid 45.9pc to 163m, the lowest in nine years, says industry body UK Finance. Part of the fall was due to fewer travel bookings, as holidaymakers pay for trips with credit cards because it is easier to claim money back if something goes wrong.

Amid shop closures and fears over job security, some people paid off their plastic debt, with outstanding balances falling £4.7bn.