Britons are treating themselves to furniture , clothing and meals out again as the economy recovers , a new report has found . A study of people 's spending habits shows people are buying luxury items amid falling prices and rising wages . Spending in restaurants has increased by 17 per cent in the last 12 months , while entertainment is up 12 per cent as people visit the theatre , cinema , museums and amusement parks . Spending in restaurants has increased by 17 per cent in the last 12 months , a new report has revealed . Analysis showed spending on women 's clothes grew by 6 per cent over the last year , and 4 per cent for men . Electronics spend has risen 7 per cent in the last year , as consumers buy expensive phones and tablet computers , while furniture has jumped by 5 per cent , with more people sprucing up their homes . It comes on the same day that official figures are expected to show Britain has entered its first period of deflation since 1960 . Inflation is expected to fall into negative territory after the price of fuel , food and energy bills plummeted in recent months . Low grocery and household bills has given family finances a boost , encouraging people to spend more . Barclaycard , which processes almost half of credit and debt transactions in the UK , found consumers had used this opportunity to update their wardrobes . Analysis showed spending on women 's clothes grew by 6 per cent over the last year , and 4 per cent for men 's clothing . A separate survey of 2,000 respondents by Barclaycard also found people were feeling more confident about their finances . A fifth of people are delaying a major purchase until after the General Election , a study shows . A survey found over half of people were concerned about how the outcome will affect their personal finances . Almost half of these said they were worried about the impact of the election – irrelevant of who wins . People said they had delayed buying various 'big ticket ' items until after May 7 , including family holidays and furniture . It follows concerns that a new Government could lead to a flood of new financial and fiscal policies , affecting their family finances or job security . The findings emerged in a survey of 2,000 people commissioned by Barclaycard . Valerie Soranno Keating , of Barclaycard , said : 'The forthcoming UK General Election is also causing some uncertainty . 'But overall , this report shows that the UK consumer is now firmly feeling the impact of the recovery and they are voting to enjoy their new-found fiscal flexibility . ' Three-quarters of people do not worry about living within their means each month , while two-thirds say they are now happy to spend money on 'non-essential items ' . Half of people who expect to increase their spending over the next few months say this was driven by a desire to treat themselves and others . Many said they had been 'cautious for a long time ' but now want to splash out . Since the survey was last conducted three months ago , a higher proportion of Britons now have more confidence in global economies , their own job security and their personal finances . While people are increasingly eating meals out , most are not being reckless with their habits . Over a third say they never go to fine-dining restaurants and most prefer a traditional British pub . Howard Archer , of IHS Global Insight , said : 'When people feel better off , they are more prepared to go out to restaurants . 'The fall in petrol prices and muted food prices will give them a bit more discretionary income . 'Consumer confidence is at its highest level for about nine or ten years . 'Rather than delaying purchases in anticipation that prices will fall , I think a lot of consumers are taking advantage of the boost to their purchasing power and spending happily . ' Valerie Soranno Keating , of Barclaycard , said : 'UK consumers are starting to feel more optimistic about both the economy and their own prospects , and this is feeding through into their shopping habits . 'Falling prices and a strengthening economy have given people the confidence to spend more freely and they have taken the opportunity to treat themselves , with spend on discretionary items rising as consumers worry less about covering the cost of essentials . ' Low grocery and household bills has given family finances a boost , encouraging people to spend more . But she said the financial crisis was still at the forefront of people 's minds and families remained cautious about spending beyond their means , like they did in the run-up to the recession in 2008 . 'While the data shows a generally very positive picture , consumers still remember the lessons of the prolonged downturn . 'The 'new normal ' – fiscal prudence , a desire to balance the budget and an ongoing search for value – remains a feature of the shopping landscape ' , she said . The study found the General Election had created some uncertainty , with over half of people saying they were concerned about the impact the outcome could have on their personal finances . One in five are postponing a major purchase , such as a family holiday , until after the May 7 election is decided .
Consumers are buying luxury items amid falling prices and rising wages . Restaurants have seen spending increase by 17 per cent in 1960 . Figures expected to show UK is now in first period of deflation since the past year .