Credit reporting agency Equifax believes decreased credit card spending is a symptom of a wider trend.
A recent move away from credit cards and towards debit is indicative of current consumer behaviour, it has been claimed.
The latest figures from UK payments association Apacs have shown that credit card spending fell year-on-year in the first three months of 2009, while debit card spending has increased. Plastic card spending as a whole also rose.
Neil Munroe, external affairs director at Equifax, suggested that this shows a "cautiousness in consumers", led by growing concerns over redundancies and future earnings as a result of the recession. "We are seeing a switch which to my mind reflects a cautious consumer probably spending what they have got more than what they are expecting in the future," he explained.
"In terms of credit cards they tend to be used on a basis of future income. It is mirroring what I think we all know is happening - people are spending what they have got rather than borrowing money at the moment [when it comes to] funding purchases."
However, Mr Munroe stressed that credit cards are not likely to disappear in the future, given that they are "a good vehicle for certain purposes". These include the protection offered under Section 75 of the Consumer Credit Act which means that the card provider is as much as liable as the vendor if there is any problem with a transaction.
