As consumers plan to curb their spending on various things this year, the money will be dedicated to more holidays and weekends away.
According to new research from leading audit, tax and consulting firm RSM, consumers plan to cut spending on takeaways (27.6%), followed by technology (26.8%) and meals out (26.7%). Just over a quarter (25.8%) said they would cut down on buying clothes.
When it came to where consumers thought they would put their money next year, the top three were saving (20.7%), holidays (17.2%) and weekends away (12.5 %).
This coincides with the new travel trend claiming that more travellers will be taking more weekend getaways this year.
45% of the 2,000 consumers surveyed said that living costs would likely have a high impact on their disposable income over the coming year. Almost a third said that Brexit was likely to have a high impact while the same proportion cited concerns around price inflation.
“What people say they plan to do, and what they actually do”
Andrew Westbrook, partner and head of retail at RSM said: “With the current political uncertainty, it’s no surprise that consumers say they plan to cut back on a range of consumer goods and activities. However, as anyone who has ever made a New Year’s resolution will know, there is often a difference between what people say they plan to do, and what they actually do.”
“The travel sector may well be encouraged by these findings that a relatively high proportion of consumers intend to spend more on holidays and weekends away. Even in straightened economic times, holidays appear to be a high priority for UK consumers. However, these figures also suggest there could be tough times ahead for the restaurant and takeaway sector with over a quarter of consumers indicating that they would tighten the purse strings when it came to eating out.”