FICO UK Credit Card Market Report

January 2024

According to the FICO UK Credit Card Market Report for January 2024, consumer credit behaviour followed typical start-of-year patterns. Spending fell by 8.6% post-Christmas, while consumers increased their payments to balance by 2.7%. Credit card providers will, however, be encouraged by the first increase in payments to balance since July 2023.

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Average UK credit card spend dropped by 8.6% month-on-month in January 2024, equating to an average spend of £775, according to new figures from FICO. (Graphic: FICO)

Highlights

• Average card spend dropped by 8.6% month-on-month, equating to an average spend of £775
• Reflecting continued high prices, year-on-year spend in January was 2.4% higher than 2023
• Increased payments to balance led to a 0.7% drop in average card balances, which now stands at £1,770
• Fewer cardholders missed one card payment in January compared to December
• There was an increase in the number of cardholders who missed two and three payments in January - 12.6% and 1.4% - respectively
• The percentage of accounts using the cash limit decreased for the fourth month in a row after peaking in September

Key Trend Indicators – UK Cards January 2024

Metric	Amount	Month-on-Month Change	Year-on-Year Change
Average UK Credit Card Spend	£775	-8.6%	+2.4%
Average Card Balance	£1,770	-0.7%	+7.1%
Percentage of Payments to Balance	37.6%	+2.7%	-4.6%
Accounts with One Missed Payment	1.7%	-1.2%	-0.1%
Accounts with Two Missed Payments	0.4%	+12.6%	+1%
Accounts with Three Missed Payments