A major new survey from Nationwide Building Society has delivered a sobering assessment of the festive season, warning that cherished Christmas traditions are under severe threat for the majority of UK parents due to the relentless cost of living pressures.
The Stark Spending Divide
The research, conducted in partnership with the charity Action for Children, polled over 1,000 parents and uncovered a dramatic gulf in planned festive spending linked directly to household income. On average, parents expect to spend £673 to fund Christmas. However, this figure plunges to just £264 for those in households earning £15,000 or less.
Delving deeper, the data shows parents with an income of £15,000 or less plan to spend an average of £350, with a significant 17 per cent managing to keep their total costs at £100 or below. In stark contrast, households with an income exceeding £75,000 anticipate spending an average of £1,086, with 16 per cent of this group budgeting between £1,751 and £2,000.
Sacrifices, Debt, and Mental Strain
Faced with these financial pressures, Nationwide reports that mums and dads are planning what it describes as "tough sacrifices" to make ends meet. The survey found that 23 per cent will cut back on eating out, while 20 per cent will ditch takeaways. Furthermore, 16 per cent plan to work extra hours to boost their festive budgets.
For many, these cuts will not be enough to avoid debt. Among those who expect to go into the red over Christmas, more than half (53 per cent) will rely on credit cards. A further 35 per cent will turn to 'Buy Now, Pay Later' schemes, and 30 per cent anticipate using their overdraft. This financial strain is taking a significant toll, with 42 per cent of parents admitting that Christmas negatively impacts their mental health.
Personal Stories Highlight the Human Cost
The statistics are given a powerful human voice by parents like 24-year-old Louise Fitt from London. She shared: “Christmas should be magical for every child. But growing up, I knew mine was different – cold rooms and no treats. I remember the silence of wanting but never asking, because I knew there was no money.”
“Now, as a mum, I fight every day to give my five-year-old daughter the childhood I never had. I shop for bargains, I stretch every penny, but the pressure is crushing. No parent should ever have to choose between keeping the heating on and giving their child a moment of joy at the time of year that should feel full of wonder.”
A Call for Support Beyond the Festive Season
Charlotte Kensett, Director of Social Impact and Customer Experience at Nationwide, responded to the findings with concern. “It’s simply unacceptable that 4.5 million children in the UK are living in poverty,” she stated.
“Through our partnership with Action for Children and its Secret Santa campaign, we’re working to ensure that those most in need have support not just for Christmas, but throughout the year ahead.” The campaign aims to provide practical help and gifts to vulnerable children and families, addressing the need highlighted so clearly by the building society's research.
