UK Money News

20th November 2007
Consumers 'will spend at Christmas despite constraints'
Although UK consumers' disposable income has fallen this year, it is probable that they will keep buying in the run up to Christmas nonetheless.
Such is the opinion of the British Retail Consortium (BRC), which predicts that many will risk needing later help with money in order to enjoy the festive period through high spending.
Alongside reduced disposable income, consumer confidence has slowed this year, meaning that increased numbers are wary of finding themselves in trouble with debt or needing help with loans.
However, many put such fears aside as the holiday season approaches.
Richard Dodd, head of media at the BRC, said: "The key considerations are how much a customer has to spend in reality and how well off they feel."
"[However,] Christmas usually turns out all right for retailers even if it’s not spectacular."
Analyst Deloitte has predicted that retail spending will be seven per cent higher this year than last year.
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