Now that Halloween and Guy Fawkes’ night are over, it feels like Christmas is just around the corner. Seasonal shop windows have appeared, Christmas trees and festive decorations are popping up in restaurants and cafes, and planning for the season has begun in earnest for many. But in a week when many retailers’ much-anticipated Christmas adverts have been unveiled, a great deal of focus seems to be on the commercial element.
For those of us on social media, there can be the added pressure of feeling the need to cultivate the ‘perfect’ Christmas in terms of décor, seasonal outfits, festive experiences such as visiting Santa, panto, and light trails, and piles of specially chosen gifts, all of which come at a price. It can be easy to forget that behind the carefully cultivated feeds, the reality is often likely to be very different.
But, with the cost of living and rising prices continuing to place pressure on many households, such scenarios are not financially realistic for a vast number. According to research published this week by comparison site Go Compare, more than a third (35%) of the 2,000 Brits surveyed said they will have to cut their Christmas budget this year, while a further 37% admitted they will have to be very careful with money this year. Somewhat worryingly, 8% said they are planning to spend money they do not have to fund festive expenses. Overall, 15% said that Christmas will financially be very difficult this year.
These findings were echoed by the Next Gen Retail report, published this week by KPMG in Ireland, which found 72% of respondents expect Christmas shopping to be more expensive this year. Overall, 36% expect to spend less this year. When it comes to how respondents are planning to finance the festive season, just under a third (30%) of 18-34-year-olds said they will use credit facilities.
While financial wellbeing support is important all year round, it may be particularly valued by employees in the run up to the festive period in order to help with issues such as budgeting and debt avoidance. Supporting employees in enhancing their knowledge and building good financial habits through the year can stand them in good stead when faced with a time of potentially greater expenditure.
This week alone, while not linked directly to the festive season, two organisations have launched financial wellbeing programmes for their employees. Lendlease launched a financial wellbeing platform, provided by Bippit, while Co-op announced plans to extend its opt-out savings scheme to thousands more employees following a successful trial.
Whatever approach employers take, offering and highlighting the financial wellbeing resources and support that are available could help individuals to make financially savvy choices in the run up to the festive period.
Debbie Lovewell-Tuck
Editor
@DebbieLovewell
