© Stocksak. FILE PHOTO – Shoppers pass a decorated shopfront on New Bond Street in London, Britain, December 28, 2021. REUTERS/Toby Melville/File Photograph
LONDON (Stocksak), – A survey released on Thursday revealed that more than two-thirds of British adults plan to reduce festive spending due to the worsening cost-of-living crisis.
Accenture (NYSE:) revealed that while two Christmases were endured due to social restrictions resulting from the COVID-19 pandemic – three quarters of adults did not plan a big celebration.
49% of respondents wanted to cut back on gifts, 46% ate out and 35% each on general socialising and food and drinks at home.
45% of those looking to cut down on Christmas spending plan to shop at budget-friendly supermarkets.
“The fact that shoppers are planning to spend less on gifts this year reflects just how low the mood feels in the run up to this Christmas,” Accenture’s retail strategy and consulting lead Kelly Askew said.
With inflation hovering at 10%, UK consumer sentiment remains near its lowest point on record. As such, households are reducing spending.
A survey conducted by Asda supermarket group on Wednesday revealed that UK families were 141 pound ($163.5), worse off in September, year-on-year.
Accenture data is pessimistic compared to a Kantar survey on Monday, which revealed that half of Britons intend to spend less this Christmas.
Tesco (OTC): Britain’s largest retailer stated earlier this month that Britons still wanted to celebrate Christmas, but would prefer to do so in a more affordable manner.
Consumers will also face tighter financial conditions in 2023 as Jeremy Hunt, finance minister, scrapped tax cuts originally planned by Liz Truss and reduced her huge energy support program for households.
($1 = 0.8624 pounds)