Cross-border retail spending by UK customers is continuing to grow despite concerns over Brexit, according to new figures from VoucherCodes.co.uk.

The study found that spending with overseas retailers reached a share of 12.8 per cent in 2016, rising from 12.4 per cent in 2015. Furthermore, the total cost of purchases made from overseas increased from £6.7 billion in 2015 to £7.7 billion in 2016. Across the whole of Europe, the overall value grew almost 20 per cent to £32.5 billion in 2016, and is expected to climb in 2017 to £37.7 billion.

UK consumers are also less likely to purchase from overseas retailers than the rest of Europe, according to the study, with cross-border sales accounting for just 12.8 per cent in the UK. This is compared with countries including Germany, France and the Netherlands, where cross-border trade was as high as 25 per cent.

In terms of value however, the UK continues to be one of the leading European markets and is predicted to spend an average of £8.42 billion abroad this year. Whilst countries such as Spain, France and the Netherlands have a significantly higher percentage share in cross-border trade, the overall value these countries are spending is dramatically less. Spain, for example, is expected to spend just £1.9 billion in cross-border trade this year.

The research also revealed that e-wallets, such as Apple and Android Pay, are gaining popularity in the UK, with one in 10 survey respondents now using this as their preferred method of payment for online transactions. Debit cards remain the majority choice however with 41 per cent of the UK using them, closely followed by credit cards (37 per cent).

Claire Davenport, managing director at VoucherCodes.co.uk, commented: “Cross-border trade is becoming increasingly attractive to consumers for so many reasons. Not only does it allow shoppers the access to so many more products at potentially cheaper prices, but delivery options are developing enabling customers to get the products delivered faster than ever, particularly for countries that are in close proximity.

“With varied payment options widely available and simplified return policies, consumer confidence in cross-border trade is growing at an unprecedented rate and is offering a fantastic solution for both consumers seeking lower cost and available items, and retailers looking to increase global sales.”

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