A study conducted by CreditExpert.co.uk has revealed that despite recent interest rate rises and the credit crunch, the majority of Brits will not be reducing their Christmas spending in 2007.
The study has reported that nearly eight in ten Brits said that they will be spending the same amount or more than last year on Christmas presents and, with 2006’s average spend being GBP397 and over GBP1.2 billion worth of gifts being for people they barely know, Brits are set for a huge financial fork-out this Christmas. 40% of the people surveyed said that they spend money on presents for distant relatives and acquaintances and 35% admitted that they would like to go away at Christmas and forget all about it.
The study has also revealed that almost one in ten thinks their borrowing will increase in the run up to Christmas. Almost half of the people who participated in the survey feel that there is social pressure to buy impressive and costly presents. 46% buy presents for people who don’t give them anything in return. 23% recycle unwanted Christmas presents.
CreditExpert has also reveled that those living in the North are more likely to feel pressure to buy impressive and costly presents for family, friends and partners. Seven in ten North Easterners and over half of North Westerners have admitted that they feel compelled to splurge compared to 39% of people in the South East and 42% of Londoners.
Jim Hodgkins, managing director at CreditExpert.co.uk, said: During the festive season, most of us spend more than normal so it’s especially important to monitor our finances and make sure our Christmas doesn’t turn into a financial nightmare.