UK credit provider NewDay said average credit card spend on holidays, hotels, flights and travel increased by 453% year-on-year in January and February.

Overall, Travel made up 7% of all credit card spend in January and February 2022, compared with just 2% in January and February 2021.

NewDay, which provides credit for around one in six cards in the UK, said the latest data highlighted increased confidence among consumers to travel with restrictions beginning to ease.

Sharvan Selvam, NewDay direct to consumer commercial director, said: “The year-on-year increases may look extreme but were in some ways expected in light of the travel restrictions and uncertainty over the previous two years.

“People are making up for their lack of holidays abroad and embracing unrestricted social freedoms despite the rising cost of living. It will be interesting to see if these trends continue into the second quarter as the cost of living continues to rise.”

NewDay’s analysis was carried out using its portfolio of UK consumer products and associated credit card transaction data, comparing data from 1-31 January and 1-28 February 2022 with the same periods in 2021 and 2019.

The data is based on the average card spend per active user, with travel spend including all spending on "holidays, hotels, flights, and travel bookings".