Make a resolution, save for next Christmas

The OFT and Citizens Advice are urging people who have struggled financially this Christmas to start thinking now about saving for next year.

As part of the OFT's Save Xmas campaign, selected Citizens Advice Bureaux and other organisations will be running 240 financial workshop sessions in the new year to raise awareness of savings options and encourage people to start saving.

The workshops will be targeted at priority groups including housing association tenants, lone parents, and those on benefits or low incomes.

In the 18 month period to the end of September 2009, Citizens Advice dealt with more than 3 million client debt problems and is encouraging people to think ahead.

John Rhodes, Head of Financial Capability at Citizens Advice said: "Christmas will have given many people a debt hangover that they might have been able to avoid. We're encouraging people to plan for next year, find out about the options available and set up a savings plan. This should help reduce the need for expensive credit, and limit the financial and emotional challenges associated with problem debt."

The OFT and Citizens Advice have put together the following top tips

Plan early - be realistic about what you are going to need for next year and budget accordingly.

Look at your options - find out about the pros and cons of post office, bank, building society and credit union savings schemes, as well as Christmas clubs, supermarket stamps and hamper schemes.

Details on all the options are available at consumerdirect.gov.uk/savexmas

Take action - choose the best option for you, and start putting some money aside.

Since 2007, more than 40,000 people have attended Save Xmas workshop sessions. Independent research found that attendees developed greater confidence about choosing savings options and 38 per cent went on to make some change to their saving behaviour.

David Murphy, Head of Campaigns at the Office of Fair Trading, said: "Christmas does tend to focus the mind on money issues, and we hope our campaign delivered in partnership with Citizens Advice will help people to think about  the importance of making informed choices about saving for next year."

Further information on the Save Xmas campaign is available at consumerdirect.gov.uk/savexmas