The Retail Reality: UK Shoppers are Trimming Their Fun‑budgets Like a Stylist on a Budget
In a recent KPMG Consumer Pulse survey, 4 out of every 10 consumers admit they’ve tightened the purse strings on non‑essential spending, dropping their monthly “fun and frolic” spend by an average of £77 since the start of the year. That’s half a year of savings in the making.
A Quick Peek at the Numbers
- 10% of shoppers cut more than £200 from their monthly non‑essential budget.
- Those aged 25‑34 take the lead with the biggest monthly cuts.
- 25% feel less secure about their financial future compared to the beginning of 2024.
- 25% feel a little more confident.
What Consumers are Actually Doing
According to Linda Ellett, KPMG’s head of Consumer, Retail and Leisure in the UK, the paper trail of savings looks like this:
- The hunt for cheaper brands and promotional offers.
- Cutting back on impulse buys.
- Curbing everyday treats like eating out.
These strategies hint that even though inflation might be slowing, the cost of living is still squeezing people’s monthly budgets hard.
Why This Matters Today
With almost half of 2024 already behind us and the general election on the horizon, how we spend—or save—is a key indicator of consumer sentiment and confidence. This recent slice of data shows that households are not just bowing to higher costs, but actively reshaping how they welcome each month.
Takeaway
When you hear that your weekly grocery bill has jumped, look also at the other places—eating out, streaming, gadgets—where you might save. A bit of creative frugality can keep wallets from feeling like a revolving door of spending.
