Credit card spending slips back

Credit card spending has declined

Shoppers' spending on credit cards fell during the first six months of 2006, according to an industry survey.

UK credit card spending was £58.4bn, the Association of Payment Clearing Services (Apacs) said - down from £60.6bn during the first half of 2005.

Apacs said the figures suggested that consumers were keeping a "tighter control" of their finances.

However, spending on debit cards rose during the same period to £92.5bn, from £88.8bn at the same time last year.

Evidence that shoppers are spending less on credit cards - but more on debit cards - tallies with other economic indicators.

Bank of England figures have shown that consumers are increasingly paying back their credit card debt.

"There is a continuing trend to pay more frequently by debit card," said Apacs spokeswoman Sandra Quinn.

"This could reflect the fact that as a nation we are keeping tighter control over our finances."