How families are still struggling with the debts of Christmas past
NEARLY half of families have not repaid money borrowed last Christmas and even more are worried about the cost of this year’s festivities, two separate studies have found.
Some 45 per cent of households have debts from last year when a quarter of families borrowed money to buy presents. The same proportion is likely to seek loans this year.
The figures are from a survey by discount coupon website VoucherCodes. Co-founder Duncan Jennings said: “With many struggling with their finances at the moment, the cost of Christmas can come as a real headache to some households.”
Those most likely to seek a loan were aged 25 to 34. Only a fifth of borrowers were able to repay their debt straight away.
In a separate survey, supermarket chain Morrisons found 51 per cent of households were concerned about the cost of Christmas this year.
Belt-tightening families will spend an average of £478.50 this year, down five per cent on 2011. More than a third of parents said they were having to cut back on presents for friends and family, the poll found.
With many struggling with their finances at the moment, the cost of Christmas can come as a real headache to some households
Twenty-eight per cent of families have budgeted between £50 and £100 less for Christmas than last year, while 16 per cent are having to cut their spending by up to £250.
Christmas dinner will cost an average £12.38 per head this year, compared with a typical weeknight meal of £3.60.
However, Morrisons has created a traditional turkey dinner with all the trimmings for £2.49 each for a family of eight.
Chief executive Dalton Philips said: “We believe it is everybody’s right to enjoy a special Christmas, whatever the budget.”