AI is driving UK spending habits in 2026 – but not in the way you might think
The research shows that experiences take priority over discretionary spending on physical items in the household budget.
According to Mastercard’s survey, nine in 10 (88%) UK respondents will be inclined to divert spending that would otherwise purchase discretionary items to lived experiences.
Nearly seven in 10 (71%) said lived experiences are more important to them than ever.
Research conducted by Mastercard with Trend Hunter found that two-thirds (65%) of people ahead of summer holidays are prioritizing face-to-face experiences to balance time spent online this year.
A similar proportion (62%) plan to attend events where the use of smartphones and other connected technologies is discouraged or prohibited.
The research also found that travel and tourism were the top picks for people planning to spend on experiences this summer, followed by food-related experiences, live events, films, heritage experiences and theater performances.
Art exhibitions, wellness and health, family experiences and outdoor activities were also popular.
Mastercard’s research included a 3Gem survey of 2,000 people across the UK in April, along with surveys in other countries.
The share of UK consumers’ experience spend excluding travel rose to 23.3% last year from 22.3% in 2024, according to spending data from the Mastercard Economic Institute.
Natalia Lechmanova, chief European economist at the Mastercard Economics Institute, said: “We are witnessing a significant shift across Europe as consumers reshape their priorities and the balance of their leisure time.
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“Our findings point to something deeper than changing habits. They reflect a growing appetite for quality rather than quantity experiences due to human connection, as the pull of the digital world intensifies.”
“Whether it’s live events, cultural pursuits, or events discovered through personal recommendation, people gravitate towards moments that bring them together and leave a lasting impression.”
Trend Hunter’s Courtney Scharf said: “Consumers are embracing automation for the efficiencies it brings to their work and daily lives, and are increasingly balancing this by spending their free time in ways that feel distinctly human.
“The more widespread AI (artificial intelligence) becomes and we spend more of our lives online, the more valuable these personal experiences become.”
Mastercard’s Experience Economy Report highlighted six “key” trends for the experience economy in 2026:
- “Analog escape,” where people opt for “disconnected” experiences like vinyl listening bars or photo-focused events.
- Communities connected through shared passions, like events that combine rave culture with healthy living.
- People coming together to overcome the challenges of modern life, just as parents learn how to style their children’s hair.
- Quality time spent sharing experiences with friends rather than a quick “catch up.”
- Nostalgic experiences like concerts that capture the “good old days”, including for people who may not have experienced the band for the first time.
- Seeking independence and originality, for example buying second-hand clothes and holidaying in lesser-known places.
“When Oasis go on tour in 2025, fans bring back haircuts, parkas, old friendship bands and take them to gigs,” the report said.
Half (50%) of UK respondents said they were looking for more nostalgia-based experiences this year, while 71% said they expected to attend an experience that brought to life past cultural moments.
More than half (53%) of consumers said they would consciously book activities through SMEs (small and medium-sized businesses).
