Two thirds of consumers are planning to cut back on Christmas spending this year, according to new research by Which?
Despite signs of economic recovery, UK households continue to struggle – 55 per cent say Christmas this year is financially tougher than the last.
A quarter of those surveyed by Which? are spending less on Christmas food, 23 per cent are cutting back on decorations and 11 per cent are even turning off Christmas lights in a bid to reduce electricity bills.
The research also found that:
- 36 per cent of people reported they will spend less this year than they did last Christmas
- 20 per cent are entertaining at home rather than going out
- 36 per cent have cut back on other spending so they can afford to pay for Christmas
- 93 per cent believe people are under pressure to overspend during the festive season.
Richard Lloyd, Which? executive director, said:
“The Chancellor may say the hard work on the economy is paying off but he’s still got a tough battle ahead to convince people he’s improving living standards. For two years in a row many consumers say Christmas is financially tougher than the year before so it’s clear that families aren’t feeling the effects of recovery in their pockets.
“There’s little festive cheer when budgets continue to be stretched, especially when some families are spending less on Christmas food and decorations, and a few are even resorting to turning off their Christmas lights to save electricity.”
