Over half of UK people will pay for Christmas this year with a means of credit according to a study by the Money Advice Service. The free money advice service released their annual Christmas spending survey results today, which surveyed 3,000 people across the UK.
The survey highlights just how tough many British households are still finding it tough to get by in the current economic state of the country, with 30% of those surveyed saying that they will find it much harder to afford Christmas this year. Even more worrying is that 26% of those surveyed said that they spend more than they can afford. Parents often feel under extreme pressure to ensure that their children get the gifts that they want. I know I stress about trying to make sure my children are happy, and let’s face it – lots of the “in” presents are far from cheap nowadays.
People are potentially going to be relying on the use of Credit cards, overdrafts and in some cases even payday loans to get through the festive season, with a massive 1.4 million people planning to use a payday loan. The website offers alternatives to try in an article. Due to the high costs payday loans should only be used as a last option. You can read their article here.
The survey also shows that on average Brits spend and waste £28 for every person, on wasted food and drink or unwanted gifts.
Image credit: Rudy Kleysteuber