British households are haemorrhaging hundreds of pounds each year on subscription services they barely use, according to startling new research.
The subscription spending crisis
A comprehensive survey conducted by credit card provider Aqua has uncovered that the average Brit now spends £786 annually on various subscription services. This substantial sum breaks down to approximately £65.50 per month disappearing from household budgets.
The study, which polled 2,000 people aged 16 and over across the UK, reveals that most consumers maintain 2.8 active subscriptions simultaneously. However, the research highlights a troubling pattern of financial waste, with many subscribers failing to utilise the services they're paying for.
Where does the money go?
The monthly subscription expenditure paints a clear picture of British spending priorities:
- Entertainment services lead at £27 monthly
- Food and drink subscriptions follow at £21
- Shopping, fashion and business services each account for £15 monthly
- Fitness memberships cost £12 on average
- Content creation and wellness services both stand at £10
- Productivity and education subscriptions complete the list at £9
Perhaps most concerning is the revelation that more than one in five Brits rarely use all their subscription services, while a staggering 2% never use any of the services they continue to pay for.
The awareness gap
The research identifies a significant knowledge gap when it comes to subscription management. A worrying 17% of Brits don't track their subscriptions at all, while another 22% rely solely on email reminders or invoices to monitor payments.
Only slightly over half of respondents (52%) actively monitor their spending by checking bank statements or banking apps. Fewer than one in five (18%) use dedicated subscription management applications to keep their recurring payments under control.
Sharvan Selvam, Commercial Director at Aqua, commented on the findings: "It can be easy to lose track of your subscriptions, and this could lead to money being spent on services you don't use, silently eating away at your budget."
He added: "Managing your subscriptions doesn't have to be laborious or time-consuming, though. Taking small steps like using a subscription management app, keeping an eye on your bank statements, shopping around for cheaper deals, or setting reminders for when subscriptions renew or free trials end could save you hundreds of pounds a year."
With the cost-of-living crisis continuing to impact households nationwide, these findings highlight a significant opportunity for Brits to reclaim control over their finances by auditing and optimising their subscription spending.
