Newspaper article The Journal (Newcastle, England)

Consumers Happy to Splash out on Holidays; in Association with RBS

Newspaper article The Journal (Newcastle, England)

Consumers Happy to Splash out on Holidays; in Association with RBS

Article excerpt

CASH-STRAPPED consumers are spending less on leisure, entertainment and eating-out, but are still happy to splash out on holidays The CBI'S latest quarterly survey of services firms showed that business activity among consumer-facing services firms fell at its fastest rate since the end of 2001.

Businesses such as hotels, bars and restaurants, cinemas and gyms are enduring a difficult combination of lower consumer spending and higher costs, which saw profitability hit its lowest level in at least 10 years, according to the CBI. Travel firms were the only consumer services companies to report growth in business over the last quarter, although they too were hit by soaring cost rises and suffered the fastest fall in profitability for five years.

The CBI said holiday operators felt unable to pass many of their higher costs on to consumers. However, the survey revealed that consumer services firms across the wider sector hiked prices at their fastest rate in a year. …

Search by... Author
Show... All Results Primary Sources Peer-reviewed

Oops!

An unknown error has occurred. Please click the button below to reload the page. If the problem persists, please try again in a little while.