One in four Brits (25%) will be relying on credit cards to fund Christmas, a 47% increase since last year
Despite the rising cost of living, 55% more Brits are feeling the pressure to overspend compared to 2021
A quarter of Brits (25%) worry they won’t be able to afford to heat their homes this December

As we enter December, preparations are well underway for the festivities, but how are people in the UK coping financially with the cost-of-living strain?

Following on from their 2021 report, credit management company Lowell has conducted further research into the impact Christmas will have on UK household finances, compared to 2021.

Last year, the average British adult spent £548 on presents alone. With 55% more Brits feeling the pressure to buy extra this year, it could be questioned if these figures can be funded again in 2022.

What are the main spending pressures people are feeling for Christmas?

Currently, 34% of people in the UK anticipate that they will buy more than they need, a 55% increase since 2021. More than a quarter (28%) expect to spend beyond their budget, and 18% feel under pressure to buy more expensive luxury items despite inflating costs.