How Britons are tightening their belts


MAIN HOLIDAY


While many of us see an annual holiday as essential rather than a luxury, one in five people – or 12 million Britons – say they will cut back on a summer break. Young people aged 15 to 34 are more likely to go without a holiday. "The likelihood is that holidays will still be taken but inevitably in the form of cheaper options, or else shorter-duration breaks which match the household cash-flow," the report says.

DIY

DIY chains are suffering because householders considering big projects are no longer holding the "security blanket" of rising property values. Older people, in particular, are more cautious. On the upside, demand for low-cost cosmetic improvements may rise as people stay put.

SAVINGS

The young, singles and families with young children are putting off saving to pay for every day living expenses. Saving is an easy target for cutbacks, having achieved a "nice if there's some spare cash" status, according to the report. One in 20 has cancelled plans to top up a pension.

CLOTHING

One in 10 people have cancelled a trip to buy clothes. The worst-hit are those who buy most clothes – young single people and large families. Discount stores offering fast fashion as a "self reward" are likely to escape the worst of the crunch, while more expensive designer labels suffer in the credit slowdown.

MOTORING

New car registrations have been falling for years, partly because people are opting for second-hand, nearly-new models. Now, lower incomes and higher petrol prices mean fewer people are seeking finance for a new car. Eight per cent of the population have scrapped plans to buy a new main car.

FURNITURE

New sofas, chairs, tables, beds, curtains and blinds have been put on the back-burner by families squeezed by rising bills. Nine per cent of people have scrapped plans to buy one of these items, making furniture and furnishings the sixth biggest area of cutbacks after holidays, DIY, savings, cars and clothing.

GOING OUT

Cinemas, restaurants, pubs, bars and nightclubs have all suffered as people trim their discretionary spending. Although a limited amount can be saved by staying at home, 7 per cent of people have cancelled at least one night out. People may trade down, from the theatre to the cinema, or from fine to casual dining.

WEEKEND BREAK

Another lesser casualty is the weekend spa or city break in Britain, or the short-haul trip to a European capital. Spring and autumn trips either side of a summer holiday may be sacrificed to ensure families can afford their main break. One in 20 of us – about 2.5 million people – have cancelled such plans. More may cancel if their credit card limits are cut.

COMPUTER

Five per cent of people have postponed plans to buy a new computer, but IT is predicted to be one of the least affected areas of the economy because new purchases are often made to replace broken equipment. More susceptible, says the report, is the leisure electronics market. Many may have to give up their dream of owning a flat-screen plasma television.

DAYS OUT

Daytrips to the seaside or theme parks have suffered a little less than more expensive weekend breaks. "These are mainly impulse-driven expenditures, yet in the roster of day-to-day housekeeping priorities, they represent some of the more expendable areas of spend," the report warns.

Have you tried new the Independent Digital Edition apps?
Life and Style
ebookNow available in paperback
ebooks
ebookA delicious collection of 50 meaty main courses
Latest stories from i100
Have you tried new the Independent Digital Edition apps?
Independent Dating
and  

By clicking 'Search' you
are agreeing to our
Terms of Use.

ES Rentals

    iJobs Job Widget
    iJobs General

    Recruitment Genius: Cleaner

    £15000 - £16500 per annum: Recruitment Genius: If you've got first class custo...

    Recruitment Genius: Mobile Applications Developer / Architect - iOS and Android

    Negotiable: Recruitment Genius: This is a great opportunity to join a medium s...

    Recruitment Genius: Telesales Account Executive - £40K OTE

    £11830 - £40000 per annum: Recruitment Genius: Working in a friendly, sales ta...

    Recruitment Genius: Web Designer

    £15000 - £27000 per annum: Recruitment Genius: One of the UK's leading web des...

    Day In a Page

    Greece debt crisis: What happened to democracy when it’s a case of 'Vote Yes or else'?

    'The economic collapse has happened. What is at risk now is democracy...'

    If it doesn’t work in Europe, how is it supposed to work in India or the Middle East, asks Robert Fisk
    The science of swearing: What lies behind the use of four-letter words?

    The science of swearing

    What lies behind the use of four-letter words?
    The Real Stories of Migrant Britain: Clive fled from Zimbabwe - now it won't have him back

    The Real Stories of Migrant Britain

    Clive fled from Zimbabwe - now it won’t have him back
    Donna Karan is stepping down after 30 years - so who will fill the DKNY creator's boots?

    Who will fill Donna Karan's boots?

    The designer is stepping down as Chief Designer of DKNY after 30 years. Alexander Fury looks back at the career of 'America's Chanel'
    10 best statement lightbulbs

    10 best statement lightbulbs

    Dare to bare with some out-of-the-ordinary illumination
    Wimbledon 2015: Heather Watson - 'I had Serena's poster on my wall – now I'm playing her'

    Heather Watson: 'I had Serena's poster on my wall – now I'm playing her'

    Briton pumped up for dream meeting with world No 1
    Wimbledon 2015: Nick Bollettieri - It's time for big John Isner to produce the goods to go with his thumping serve

    Nick Bollettieri's Wimbledon Files

    It's time for big John Isner to produce the goods to go with his thumping serve
    Dustin Brown: Who is the tennis player who knocked Rafael Nadal out of Wimbeldon 2015?

    Dustin Brown

    Who is the German player that knocked Nadal out of Wimbeldon 2015?
    Tour de France 2015: Twins Simon and Adam Yates have a mountain to climb during Tour of duty

    Twins have a mountain to climb during Tour of duty

    Yates brothers will target the steepest sections in bid to win a stage in France
    John Palmer: 'Goldfinger' of British crime was murdered, say police

    Murder of the Brink’s-MAT mastermind

    'Goldfinger' of British crime's life ended in a blaze of bullets, say police
    Forget little green men - aliens will look like humans, says Cambridge University evolution expert

    Forget little green men

    Leading evolutionary biologist says aliens will look like humans
    The Real Stories of Migrant Britain: An Algerian scientist adjusts to life working in a kebab shop

    The Real Stories of Migrant Britain

    An Algerian scientist struggles to adjust to her new life working in a Scottish kebab shop
    Bodyworlds museum: Dr Gunther von Hagens has battled legal threats, Parkinson's disease, and the threat of bankruptcy

    Dying dream of Doctor Death

    Dr Gunther von Hagens has battled legal threats, Parkinson's disease, and the threat of bankruptcy
    UK heatwave: Temperature reaches 39.8 degrees on Central Line - the sweatiest place in London

    39.8 degrees recorded on Tube

    There's hot (London) and too damn hot (the Underground). Simon Usborne braved the Central line to discover what its passengers suffer
    Kitchens go hi-tech: From robot chefs to recipe-shopping apps, computerised cooking is coming

    Computerised cooking is coming

    From apps that automatically make shopping lists from your recipe books to smart ovens and robot chefs, Kevin Maney rounds up innovations to make your mouth water