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UK retailers braced for tough Christmas as shoppers feel squeeze
Britain’s retailers are bracing themselves for a tough Christmas trading period as hard-pressed consumers react to a worsening cost of living crisis by cutting back on spending.
With the most profitable period of the year for shops and online outlets approaching, two surveys out on Tuesday underlined the extent of the squeeze on household budgets caused by the UK’s double-digit inflation rate.
The monthly snapshot of spending by Barclaycard, which accounts for half of debit and credit card transactions, found that 50% of consumers were planning to tighten their belts this Christmas, cutting back on presents, food and drink, and socialising.
Two in three consumers (66%) were finding ways to save energy at home to reduce the cost of their gas and electricity bills, Barclaycard found. Many of those were wearing more layers at home (63%), while 56% were avoiding using central heating unless absolutely necessary.
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