Spend on food and drink this year is to see a drop of 25 per cent since last year as 45 per cent of Britons look to cut costs as a result of the cost-of-living crisis, claimed a new study.
According to new research by global data and insights company Pureprofile based on a sample of 1,023 panel members, average Christmas food and drink budget has dipped to £207, in comparison to £212 last year.
39 per cent of those surveyed said increased financial costs is their biggest concern while 33 per cent will look to buy cheaper food alternatives.
“The UK has seen some challenging Christmases over recent years, and while we share a sense of optimism for the festive season this year, there is an underlying sense of financial uncertainty giving rise to feelings of caution,” Pureprofile managing director UK, EU & US, Tim Potter said.
“The cost-of-living crisis and rising interest rates have meant many families have already had to reassess their finances and cut back on spending.
“Brits will be prioritising food that offers more for their money and stretches budgets that little bit further. Similarly, the gifts we choose will likely be more considered and functional as we become more cost-conscious shoppers this season.
“Although we’re seeing shopping commencing earlier this year, retailers will still need to consider consumer mindsets and provide real value for money to meet smaller budgets,” he added.
The survey comes a week after data from the Office for National Statistics pegged inflation in September at 10.1 per cent- a 40-year-high level. Another set of data from ONS revealed how price of cheapest grocery items have spiked in the past year.
The analysis covered 30 everyday grocery items sold in supermarkets. It found that the cost of vegetable oil had jumped 65 per cent, while pasta and tea were up 60 per cent and 46 per cent respectively. Others products that have seen big rises included chips (+39 per cent), bread (+38 per cent), and biscuits (+34 per cent).
