In December 2024, net consumer credit borrowing in the United Kingdom reached £1.045 billion, slightly increasing from £0.9 billion in November and surpassing market expectations of £0.95 billion.
UK consumer credit borrowing rises in December
This rise was driven by a growth in credit card borrowing, which increased to £0.4 billion from £0.3 billion. Meanwhile, borrowing through other consumer credit channels, such as personal loans and car dealership finance, remained steady at £0.7 billion.
On an annual basis, the overall growth rate for consumer credit showed a modest slowdown, dipping to 6.5% in December from 6.6% in November. However, the annual growth rate for credit card borrowing increased by 8.1% from 8.0%, signaling continued consumer reliance on credit cards.
UK consumer credit growth slows
In contrast, the annual growth rate for other forms of consumer credit declined, falling to 5.8% from 6.0%, suggesting a softening in demand for personal loans and car financing.
This data highlights ongoing consumer borrowing trends in the UK, with increased credit card usage and stable borrowing in other sectors, though overall credit growth appears to be moderating slightly.
