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  • Today's business and finance round up 30th March 2022

Today's business and finance round up 30th March 2022

Consumer borrowing jumps amid cost-of-living squeeze

30th March 2022

Bite-sized business news from the UK and beyond

Good morning We’ve had M&S vs Aldi and now there’s a new supermarket war. Waitrose has sent a legal letter to Asda after its rival unveiled a similarly-named discount product range. On Monday Asda announced its ‘Just Essentials’ range of low-cost products to help shoppers with the cost of living but Waitrose said the branding is too like its own ‘Essential Waitrose’ range launched in 2009.

Today's stories

  • From debit to credit - Consumer borrowing jumps amid cost-of-living squeeze

  • Staying put – Post Brexit finance exodus not as bad as expected

ECONOMYConsumer borrowing jumps amid cost-of-living squeeze

What’s going on?

Why is this important?

During the pandemic UK households collectively saved over £100bn as lockdown curbed discretionary spending. As Covid restrictions have eased consumers pandemic savings have dwindled, and spending on credit has rebounded.UK households borrowed £1.9bn more than they saved in February, up from £0.6bn a month earlier – the biggest jump for almost five years.The increase was driven by credit card borrowing which rose by £1.5bn to £59.5bn – the highest since records began in 1993. The rest of the rise came from increased spend on personal loans and store cards.Economists believe the trend is a sign of the growing strain on household budgets. Inflation hit a 30-year high of 6.2% in February and is expected to reach almost 9% before the end of the year. Last week the government’s spending watchdog warned that UK households are facing the biggest fall in living standards since at least the 1950s.

Zooming out

Other stories to keep you in the loop

  • Average mortgage hits £235k as cost of living crunch threatens home ownership plans for many

  • Barclays sinks as mystery seller offloads £900 million stake

  • UK seizes first superyacht in British waters

  • FedEx founder steps aside as chief after 50 years

  • Deliveroo extends its range adding new partner WH Smith’s products

  • Uber Eats signs global delivery deal with BP

FINANCEPost Brexit finance exodus not as bad as expected

Stat of the day

Spotify paid $7bn to music industry rights holders last year with 600 artists earned more than $10,000. Of those, 130 were paid more than $5m

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