Economics

Heatwave Boosts U.K. Retailers But Concerns Mount Over Rate Hike

  • Barclaycard reports strongest three months since at least 2014
  • But heat and soccer offer only temporary relief, reports find

Pedestrians cross the road near Cannon Street Station in London, U.K., on July 6, 2018. 

Photographer: Simon Dawson/Bloomberg
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The sweltering summer drove Britons to splurge on food, drink and days away but the boost to retailers may prove short-lived, with higher interest rates expected to hit already fragile consumer confidence, surveys published Tuesday found.

Payments processor Barclaycard said that spending rose an annual 5 percent in July, capping the strongest three-month period since it started measuring the data in 2014. Spending was also lifted by the England soccer team’s best World Cup run for 28 years.