According to a recent report spending on credit cards over the Christmas period is set to fall, and this could see retailers take a real hit in terms of profit, as consumers try and rein in on their spending on credit cards over the festive season. The results of a recent survey indicate that around 25% of Brits are looking to cut back on their credit card spending over the Christmas and New Year period, so shops, eateries, clubs, and other places could experience a significant slowdown over the period.

Part of the reason that consumers are so desperate to cut back on credit card spending is thought to be the level of debt that many Brits are in, with around 15% trying to handle debts of £10,000 or higher. According to the results of the survey, carried out by debt group Thomas Charles, around 30% of those aged 35-44 are looking to slash their credit card spending over the Christmas and New Year period.

The survey results also showed that a whopping 40% of those aged 18-34 were looking to cut back on their credit card spending over the festive season, and this could see a fall in profits for clubs, eateries, and entertainment venues as well as for shops and retailers. In fact out of over 1800 adults that were surveyed, around 10% stated that they would be very careful about using their credit card to make a large purchase in the next six months.

One Thomas Charles spokesman stated: “Interest rate rises and subsequent mortgage hikes mean that people have been relying on credit for their everyday expenditure — credit they can often ill afford. These results show that Britons are finally making positive steps towards confronting the amount of debt they are carrying. This is good news for the man on the street, but may signify bad news for retailers who have come to rely upon the vast amounts of credit spent at Christmas time.”