Brits set to splurge £38 billion this summer - report

Brits are set to spend £38 billion of their lockdown savings this summer, according to new research from Virgin Money.

Since lockdown began last year, nearly 39 million people (67 per cent of Brits) have saved money and set aside an average of £2,100.

This equates to £117 billion that has been stashed away across the country.

Brits have also worked hard to clear debt during lockdown, with over 41 per cent paying off £1,091 of debt on average, adding up to £59 billion of debt cleared overall.

Despite the delay in easing lockdown restrictions, it was found that Brits still have a strong desire to put their savings to use this summer. In fact, Oxford Economics predicts that £75 billion more will be spent across the UK this summer compared to the last.

This is seen in people 's attitudes towards spending, with almost a quarter planning to spend more frivolously and treat themselves after a tough year.

Marking as top priority for this spending is the booking of holidays (56 per cent), planning domestic excursions (68 per cent), going to bars and restaurants (72 per cent) and splurging on new clothes for the occasion (73 per cent).

Naturally, these plans have increased the UK 's spending habits on hospitality and retail between March and May of this year significantly, compared to the stark decrease in spending on groceries and technology.

It was also found that young people are driving the UK 's spending spree, with 25-34 year olds set to spend over £1,300 and 16-24 year olds £1,000.

Fergus Murphy, chief customer experience officer at Virgin Money, said: “Nothing will stop us making the most of summer and enjoying all the things we can now that Freedom Day has finally arrived.

“It 's brilliant that so much has been saved since lockdown and hopefully that can continue, but it 's also fantastic that we can finally enjoy and reward ourselves after a really tough time.

“It 's great to see so many people are feeling happier about money and planning to treat themselves, whether that 's on new clothes, having a holiday or in restaurants.

“We want 2021 to be the summer of fun, which is why we 've partnered with our friends at Virgin Experience Days to offer new and existing customers the opportunity to try something different, whether that be adrenaline-fuelled adventures or taking some relaxing 'me ' time. ”

Virgin Money is making summer excursions easier by offering customers who switch to the Virgin Money M Plus or Club M accounts a £150 gift card for Virgin Experience Days.

Switchers can choose between thousands of experiences, from sky diving and flying lessons to spa days, afternoon tea and weekend getaways.

For more information, click here