New research from uSwitch.com has indicated that one in four consumers will carry an average credit card debt of £452 into this year. Despite the cost of living reaching a five year high in 2017, the British public has not held back on their Christmas spending, with almost £8.5 billion being spent on plastic this festive season. Nearly a fifth (17%) of consumers have gone over their Christmas budget, with costs such as the turkey dinner and gifts for loved ones pushing almost a quarter (22%) of people into debt.
However, the excesses of Christmas will come back to haunt those who have spent on credit cards, as half (50%) fear they will still be paying off their debt next Christmas, and, worryingly, one in ten (8%) are still paying off debts from 2016’s Christmas spending.
As many of us look ahead to the New Year, almost half (48%) of consumers are concerned about their level of debt. Nearly one in ten (9%) go as far as saying they are extremely worried about their overall level of borrowing.
Tashema Jackson, money expert at uSwitch.com, says: “January should be a time for looking ahead, but up and down the country millions of Brits will be looking over their shoulder at the cost of their festive spending. Rather than try and forget about it, the best thing people can do is to make it a New Year’s resolution to tackle their debt head-on.”