Three in 10 people have been put off committing to a recent major purchase due to financial worries, according to research for Which?
The consumer group’s monthly consumer insight tracker found 28% of people said they had not made major purchases – including items such as cars, furniture and electronic devices – in the past month because they were worried about their future household finances.
More than half (51%) of people had made at least one adjustment to cover essential spending such as utility bills, housing costs, groceries, school supplies and medicines in the past month.
Adjustments include cutting back on essentials, dipping into savings, selling possessions or borrowing. This was higher than the 45% seen in January.
Three in 10 (31%) people are expecting their finances to worsen and less than a quarter (23%) believe their finances will improve.
One woman in her 20s from the East Midlands told researchers: “I am worried about the trajectory of the economy due to booming house, food and energy prices.”
Rocio Concha, Which? director of policy and advocacy, said: “Our research shows that low consumer confidence is having an impact on household spending.”
The research among around 2,000 people was carried out by Yonder, with the latest survey covering the month to February 17.
