How much does Christmas really cost the average family?
Christmas is a time for family, celebration and making memories.
However, for many households across Cumbria, it can also be one of the most expensive times of the year. It’s estimated over 60% of families in the UK take on new debt each year just to cover the cost.
Presents, food, travel, festive events and entertainment can quickly add up, leaving families facing financial pressure long after the decorations come down.
So how much does Christmas really cost, and how can you prepare?
The hidden costs of Christmas
Most people budget for presents, but many other expenses can catch families by surprise.
These may include:
- Christmas cards and wrapping
- Teacher’s gifts
- Food and drink
- Travel costs
- Children’s activities
- Decorations
- New clothing
- School events
- Hosting family and friends
When added together, the total cost can be far higher than expected.
Why many families turn to credit
Without a savings plan, many households rely on:
- Credit cards
- Overdrafts
- Buy Now Pay Later services
- Payday lenders
While these options may seem convenient, they can lead to repayments continuing well into the new year.
The benefits of Christmas savings
Saving throughout the year can help spread the cost and reduce financial stress.
Even small weekly contributions can build into a useful Christmas fund.
Many families find that regular saving helps them:
- Budget more effectively
- Avoid debt
- Reduce anxiety
- Enjoy Christmas without financial worry
Start small, stay consistent
You don’t need to save large amounts to make a difference.
Setting aside just a few pounds each week can help cover festive expenses when December arrives. Even better – automate your savings by standing order, or payroll deduction if you have one so you don’t have to think about it each week or month.
The key is consistency.
Avoid the January debt hangover
One of the biggest advantages of a Christmas savings plan is starting the new year in a stronger financial position.
Rather than dealing with credit card balances or expensive borrowing, you’ll know that Christmas was funded by money you planned and saved for in advance.
How we can help
At Whitehaven, Egremont & District Credit Union, we help members across Cumbria develop healthy saving habits and access affordable financial services.
Whether you’re planning for Christmas, building an emergency fund or saving for a family holiday, our community-focused approach can help you achieve your goals.
The best time to start saving for Christmas is not in November, it’s today.
Get in touch:
Tel: 01946 66755
Visit: wedcu.co.uk
Email: info@wedcu.co.uk