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Britons are tightening their belts as inflation eats away at household budgets

Almost half of consumers are buying less clothing and shoes, while more than two-fifths are buying less electronicsaccording to a survey by an accounting firm EY.

The survey found that more than a third (37%) of low- and middle-income consumers are buying essentials only, up 11% from February, while 32% have switched to cheaper brands to try and save. money.

Almost half say they currently feel worse off financially, while only 39% say they feel in control of their lives.

Those with higher incomes were more optimistic about their spending habits despite inflationary pressures, with 61% saying they were happy to spend money on things that would improve their lifestyle.

EY UK&I head of retail Sylvia Rindon said: “Our research shows that rather than consumer behavior remaining relatively stable, we are seeing consumers move towards two extremes. At one end are cash-strapped consumers who are watching every penny, and at the other are those who are ready to spend and want retailers and brands to excite and engage them to do so.

“Navigating this K-shaped profile of consumer behavior is the key to surviving and thriving in the new economic landscape.”

Britons are tightening their belts as inflation eats away at household budgets

Source link Britons are tightening their belts as inflation eats away at household budgets

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