Mood boosts, seeking new experiences and self-improvement are the top drivers behind increasing disposable income spend among UK consumers, the latest research from Bauer Media Outdoor (formerly Clear Channel UK) reveals.

Original research of 2,000 UK consumers by Bauer Media Outdoor showed that, despite ongoing pressures and economic uncertainty, 38% are spending more of their disposable income now compared to a year ago.

Consumers display more confidence on spending

‘’Across the UK, there are consumers with a strong spending power, [reinforcing] the opportunities available for brands,” Ben Hope, Marketing Director at Bauer Media Outdoor UK, said.

A further 36% say they now have less rigid budgets and are treating themselves more compared to the same period last year, a +20% uplift year-on-year, suggesting rising consumer confidence in their spending power.

This follows the findings of GfK’s Consumer Confidence Index, which showed that consumers’ outlooks edged up +2 index points in June. However while shoppers’ positivity improved this month, it still remains negative at -18 overall.

Lightening the mood

Mood boosting was the top motivation behind increased disposable income spending, followed by the desire to seek new experiences (31%) and self-improvement (23%).

This echoes similar findings from Barclays’ ’10 Years of Spend’ report, which found that, even when being cautious, consumers are finding room to spend on they things they love; a quarter of shoppers (24%) say they prioritise enjoyment and creating memories – finding value in experiences over material goods.

“Amid all the highs and lows – from rising bills, job insecurity and a fluctuating global and national economy – through purposeful spending, consumers continue to prioritise the things that bring them joy, unlocking the potential for UK economic growth,” said Karen Johnson, Head of Retail at Barclays.

Ticking against all three spending drivers, travel was the number one purchase for disposable income spending among UK consumers in Bauer Media Outdoors’ poll. This was followed by clothing (26%), home improvement (25%) and entertainment (23%).