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FICO flags rise in missed credit card payments in UK

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SOFIAH NICHOLE SALIVIO

News Editor

FICO reported a rise in missed credit card payments in the UK in March, pointing to worsening strain on household finances.

Its latest market data showed average credit card spending fell 6.6% month on month to £740, while the share of balances repaid dropped to 33%. Average active balances edged down 0.8% from the previous month to £1,925, but remained 4.3% higher than a year earlier.

The sharpest deterioration came in early arrears. The percentage of customers missing one payment rose 29.5% from February, while the share missing two payments increased 11.3% month on month and 14.3% year on year.

Accounts with one, two or three missed payments all recorded slightly lower average balances than in the previous month, but each category remained above levels seen a year earlier. That marks a shift from the improvement visible in the same period last year.

The data covers card performance reported through FICO’s Benchmark Reporting Service and is drawn from reports generated by its TRIAD Customer Manager system, used by about 80% of UK card issuers.

Spending pressure

March is usually shaped by seasonal spending patterns ahead of Easter, but the latest figures also reflect broader pressure on consumers. FICO linked weaker spending and payment performance to a fuel crisis tied to disruption in the Strait of Hormuz, which has pushed up petrol and diesel costs.

That pressure showed up in both customer behaviour and balance trends. Although active balances fell modestly after Christmas, they have stayed elevated compared with the same period last year, suggesting borrowers have not materially reduced their reliance on revolving credit.

The repayment picture was also weak. The proportion of balances repaid slipped 1% from the previous month and was 3.7% lower than a year earlier, continuing a seasonal decline typically seen before summer.

The year-on-year decline in repayment rates has narrowed from the 6% to 7% falls recorded through much of last year. Even so, payment levels remain low by recent standards.

Rising arrears

For lenders, the more pressing issue is the increase in delinquency. The rise in customers missing one payment echoed a similar jump recorded in March last year, raising the prospect that a seasonal pattern is becoming more severe rather than easing.

The increase in customers with two missed payments is likely to draw particular scrutiny because it can signal that temporary payment difficulty is turning into more persistent financial stress. A year-on-year increase in that category suggests the problem is not confined to a single monthly fluctuation.

FICO also highlighted that all delinquency categories were higher than a year earlier. While the growth rate of delinquent balances has moderated, especially among accounts with two and three missed payments, the overall market picture still points to structural affordability pressure.

That leaves banks and card issuers weighing whether the March spike in early arrears will feed through into more serious defaults in the months ahead. Collections and risk teams are likely to watch closely how many customers who have missed one payment move into two or three missed payments as seasonal spending rises through spring and summer.

The figures add to evidence that unsecured consumer credit remains under strain, even where some month-on-month indicators have stabilised. Lower spending does not necessarily signal stronger finances when repayment rates are also falling and arrears are increasing.

Average balances on delinquent accounts remain above last year’s levels, meaning lenders may be dealing with larger sums once customers fall behind. That can make collections more complex, particularly if higher fuel and transport costs continue to squeeze disposable income.

“An area of concern for risk teams will be the notable increases in March across early and mid-stage late-payment categories. The sharp 29.5% month-on-month increase in customers missing one payment reflects a recurring pattern of March stress that was also evident in 2025. The 14.3% year-on-year increase in customers with two missed payments is especially notable and warrants careful monitoring to assess whether this represents a seasonal spike or a more sustained deterioration,” FICO said.



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Coffee shop opened today in new Botley West Way development

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The new coffee shop welcomed its first customers on Thursday, May 28 in the West Way Square development in west Oxford.

Found near the Tesco store, below shiny new apartments, the store is hoping to become ‘locally loved’ and provide coffee in a relaxed environment.

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Sean Kennedy-Lockwood, area manager for Coffee#1, said: “We’re thrilled to be opening our next location in Botley in a lively new neighbourhood. We’re confident Coffee#1 will fit right in.

Coffee#1 new opening Botley West Way May 28Coffee#1 opened in the new Botley West Way development on Thursday (Image: Coffee#1)

“We take pride in providing a cosy space where customers can relax, enjoy delicious food, tempting cakes, and, of course, great coffee.

“The new store’s interior is designed with warmth and vibrancy in mind featuring a living-room feel, shelves filled with books and unique illustrations showcasing local history, folklore, and figures from the area.

Coffee#1 new opening Botley West Way May 28Coffee#1 opened in the new Botley West Way development on Thursday (Image: Coffee#1)

“The inviting atmosphere is perfect for socialising with friends and family, or for some quiet time with a book or laptop.”

Coffee#1 was founded in 2001 and has become a major cafe brand across South Wales, the South West, the South Coast and the Midlands.

It now operates 133 stores across the country, after joining the Caffe Nero group in 2019.

Coffee#1 new opening Botley West Way May 28Coffee#1 opened in the new Botley West Way development on Thursday (Image: Coffee#1)

READ MORE: Major emergency response on Oxford Donnington Bridge

Nick Price, store manager at the new Coffee#1 in Botley, said: “My team and I are excited to become part of the Botley community and to serve our new neighbours.

“Local community groups are encouraged to host regular catch-ups in the store, and dogs are welcome too.

“To celebrate the opening, we’re offering a free drink when you download the Coffee#1 app. Simply enter the promo code C1BOTLEY in the app to claim your free drink voucher.”





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Iconic British fashion brand to shut all 21 stores with jobs lost

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Radley’s entire UK store estate has been placed under threat in a fresh blow to the high street, with all 21 shops facing closure, says The Sun.

The British handbag and accessories brand, known for its Scottie dog logo and leather handbags, is expected to shut its remaining standalone stores nationwide despite having been rescued in a recent takeover deal.

READ MORE: We tried the £95 seafood platter at this cosy Cotswolds pub

This move puts dozens of retail jobs at risk across the country as the company shifts its focus towards online sales and wholesale channels, according to The Sun.

So far, there have been 42 instant redundancies with thousands of further roles now under threat.

Among the sites named as vulnerable is the Radley store at Cotswolds Designer Outlet, near Tewkesbury, which only opened last year as part of the new multi-million-pound shopping destination.

READ MORE: 80s singing legend announces UK tour amid bid to save historic pub

The outlet, just off junction 9 of the M5 and serving towns and villages across the Cotswolds, had promoted Radley as one of its key fashion brands, alongside labels such as Boss, Levi’s and Guess.

Radley’s Cotswolds shop was designed as a “brand new store” offering an “elevated shopping experience”, according to the company’s own store information.

The Sun reports that a full timetable for the national store closure programme has not yet been confirmed.

This has left shoppers and employees waiting for further clarity on when individual locations, including the Cotswolds branch, will shut.





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Kao Data names Spencer Lamb as Chief Executive Officer

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Kao Data has appointed Spencer Lamb as Chief Executive Officer, completing a change in the company’s leadership structure.

Lamb, who joined the data centre operator in 2020, steps up from his previous role as managing director and chief commercial officer. He will oversee day-to-day operations and growth across the group’s UK sites, while founder and executive chairman David Bloom continues to focus on financing, partnerships, acquisitions and government engagement.

The appointment comes as demand for artificial intelligence-related computing infrastructure continues to reshape Britain’s data centre market. Operators are seeking larger sites, more electricity and closer coordination with grid and energy planning as customers deploy denser computing systems.

Kao Data has built a portfolio spanning Harlow, Slough, Northolt, Park Royal in west London and Greater Manchester, with additional sites under development. Lamb has played a central role in expanding that footprint as a member of the senior management team.

Before taking the top job, he led the company’s go-to-market efforts and helped secure customers in cloud, artificial intelligence, enterprise, financial services and scientific computing. He also helped develop its Harlow campus into a major location for high-performance computing, AI, research and life sciences workloads.

Leadership shift

The reshuffle formalises a division of responsibilities already taking shape inside the business. Under the new structure, Lamb will run operations and execution, while Bloom remains closely involved in strategic direction and capital planning.

The split reflects broader pressures across the sector, where data centre groups are balancing the need to bring new capacity online quickly with the demands of securing funding, land and power. For companies aiming to serve AI customers, those questions have become more pressing as infrastructure projects grow larger and more complex.

Lamb has also become a prominent voice in discussions about the UK’s digital infrastructure and energy requirements. He has worked with local and central government on the role data centres play in the digital economy and the need to align computing infrastructure expansion with the national grid and wider energy plans.

Kao Data is positioning itself as a specialist provider of facilities for AI and advanced computing. Its portfolio amounts to more than 160MW of IT load that is operational, under development or planned, according to the company.

Backed by international investors, the business has sought to differentiate itself through sites designed for large-scale computing demand. Britain’s data centre market has attracted growing interest from investors and operators as cloud providers and AI developers seek more domestic capacity.

In that environment, executive appointments have taken on added significance, especially at privately backed infrastructure groups that must manage both commercial growth and long-term capital needs. Lamb’s promotion from within also points to continuity in strategy rather than a change in direction.

Lamb said: “I have loved my time at Kao Data, and I am excited to step up and lead the company as its CEO. One of the biggest strengths of Kao Data is our ‘player-manager’ mentality, recruiting from within to develop and grow our people, which is exactly what this role calls for. I am looking forward to ensuring Kao Data continues to play a strong and defining role in the UK’s AI infrastructure story, and that we keep delivering for our customers, our people and the communities we operate in.”

Bloom said: “Spencer’s appointment formalises what has been an increasingly natural evolution in how we lead this business. He has the DNA of this company and is, quite simply, a ‘Kao person’ through and through and an outstanding leader in this industry. As CEO, Spencer will drive Kao Data’s operations and day-to-day growth strategy, while I remain directly focused on the strategic priorities that will shape our next chapter: major financing, capital partnerships, M&A, and our ongoing engagement with government on the UK’s AI infrastructure agenda. This is a leadership structure built deliberately for scale, and I am excited about what we will build together.”



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