Top activities families are being forced to cut spending on revealed

BRIT families have been forced to make spending cuts as they face the cost-of-living crisis.

Almost two thirds of adults are planning spending cuts – with takeaways, holidays and charity donations among the top items to curtail.

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The study of 2,000 adults found those looking to curb spending are also planning to cut days or evenings out (22 per cent) and donations to good causes (26 per cent).

Products such as booze (16 per cent) and cigarettes (10 per cent) also face the chop, along with shopping for clothes or shoes (18 per cent).

This could be in part due to a sustainability drive, with 34 per cent more likely to buy second-hand items.

There’s also a growing sense of self-reliance, too, as 36 per cent of people are likely to  tackle DIY projects themselves as opposed to hiring tradespeople.

Vicki Joshi, chief customer and brand officer at AXA UK, which commissioned the research, said:

“People are having to make tough choices when it comes to their finances and will likely have to continue to reduce spending on things they otherwise would like to keep up.

“Especially when it comes to insurance, it’s no surprise that cost is continues to be the main consideration for most, as people rightly want a competitive price and to know they’re getting a good deal.”

Despite the economic downturn and cutbacks, people remain optimistic about their financial health, with 57 per cent rating their situation as above average.

And 57 per cent also think they’ll be in a better position next year.

Despite reducing spending in many areas, there is a reluctance to ditch insurance policies, with 70 per cent and 71 per cent having car and home insurance respectively, while 44 per cent have breakdown cover.

Other popular products included travel (28 per cent) and pet insurance (25 per cent).

Price (47 per cent) was considered the most important factor when buying insurance, ahead of the level of cover (26 per cent) and it being from a brand people trust (12 per cent).

For those thinking about getting insurance in the next three months, half said they were doing it for peace of mind.

Vicki Joshi added: “It’s essential their policy has the right level of cover for when they need it the most.

“While there are unquestionably difficult circumstances, it’s encouraging to see most people are optimistic about the future and are making short term changes to protect the things that matter to their future.”

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This post first appeared on thesun.co.uk