Cash-strapped Brits to make Christmas trimmings

Nearly three quarters of people (70%) will be making cutbacks on spending this Christmas, new research by The Co-operative Bank has revealed. According to the findings, although one in four Brits (25%) are yet to start their Christmas shopping, friends and family won't be the beneficiaries this year, as nearly a quarter of people (23%) are officially tightening their purse strings when it comes to gifts.

However, the research highlights that festive celebrations will suffer the most, with one in three (29%) people admitting that parties and nights out will be the top area they look to cut back on.

The figures also show that spending on Christmas outfits (25%) and expensive wrapping paper (24%) will also be popular areas for spending reductions from a quarter of the population.

Top 10 Christmas cut-backs
1 Parties/ nights out
2 Christmas presents for friends
3 Christmas outfit
4 Expensive wrapping paper
5 Christmas presents for work colleagues
6 Taxis
7 Christmas presents for family
8 A holiday
9 Premium brands
10 Alcohol

And it even looks as if the postman will be left out in the cold this year, as more than one in ten (11%) admitting they won't be giving Christmas tips.
 
However, it does appears that food is still where the heart is, with more than 90% of people unwilling to trim any spending on their festive favourites, including mince pies (94%), turkey (93%) and Christmas pudding (92%).

The research also shows that as a nation we are becoming more prudent, with 60% of people stating that they are not prepared to run into any debt to ensure they have a merry Christmas.

John Hughes, Director of Retail Products at The Co-operative Bank, said: "It's no surprise that consumers are tightening their purse strings this Christmas, but the scale of the cut backs is perhaps surprising.

"There is pressure to spend money over the festive season - sometimes more than people can afford - so it's good to see people are looking at their finances more carefully and taking a more responsible attitude to spending."