Brits spend two weeks’ pay on Christmas
Spending on Christmas presents, food, drinks and decorations averages £725. Based on the average UK salary of £29,588, this means people are sacrificing two weeks’ pay to cover the Christmas period.
Research of household finances by Nationwide Building Society reveals that 81% of those who budget go over and 38% said they don’t have a budget in the first place.
Men are more likely not to budget (42% compared to 33% of women), but it’s women who tend to overspend.
Regionally, those living in Wales are least likely to plan, with 49% saying they go with the flow when it comes to their spending. This is closely followed by those in the North East (45%), and those in Scotland (44%).
The biggest expense at Christmas is presents, averaging £363. However, 8% of the 2,000 polled said they will spend more than £800 on presents alone. Sweets, crisps and snacks come in at an average £26 while spend on alcohol is slightly more at £38.
People are also forking out an average £143 for Christmas at work, such as on secret Santa, travel, clothes and food and drink.
The research also revealed that 18% struggled financially as a result of last year’s Christmas spending with 10% ending up in their overdraft.
Alexis Conran, who presents Shop Smart, Save Money, is supporting Nationwide’s campaign to help people better understand and manage their Christmas spending.
He lists top tips to help people budget more effectively: