Dating, DIY and Netflix: Brits stop spending on love and luxury due to cost of living crisis, Nationwide says
The value of households’ spending on subscription services, home improvements and dating fell annually in February, according to analysis by Britain’s biggest building society of its members’ outgoings.
The volume of dating transactions fell by a third (33 per cent ) in February 2023 compared with the same month in 2022, also falling by 7 per cent by value, Nationwide Building Society found.
Spending on subscriptions like Netflix fell by 6 per cent annually by volume and by 3 per cent by value.
DIY spending fell by 4 per cent by value compared with February 2022, but the number of transactions increased, by 3 per cent annually.
The spending cutbacks were made as spending on several essential outgoings jumped.
The value of spending on utility bills increased by around a third (34 per cent ) compared with February 2022.
Spending on mortgage payments increased by 17 per cent , rent payments were up by 11 per cent , spending on loans increased by 8 per cent and spending on insurance jumped by 7 per cent annually by value.
The monthly report analysed millions of debit card, credit card and direct debit transactions.
How are Brits spending their money?
A survey of more than 2,000 people by Censuswide in February found that nearly two-thirds (63 per cent ) are worried about their personal finances and their ability to cover essential costs. This was slightly down on the 70 per cent of people who said this in January.
Nearly a quarter (23 per cent ) of people in the latest survey said they had already reduced or cancelled TV subscriptions, with a further 14 per cent considering doing so, the survey commissioned by Nationwide found.
Nearly two-fifths (38 per cent ) had used credit cards in the previous six months to cover essential items in order to bridge the gap to their next payday.
Mark Nalder, payments strategy and performance director at Nationwide, said: “Our research shows that while the number of people worried about their finances has fallen slightly, there are people relying on credit as a way of bridging the gap for essential bills.
“We’d urge anyone (who is) struggling to talk to their bank or building society as early as possible for support. We have a dedicated cost-of-living hotline to do just that.”
Press Association – Vicky Shaw