COST OF LIVING CRISIS: Four in ten consumers worry they will not be able to afford Christmas this year, according to Post Office survey

The deepening cost of living crisis is set to impact on Christmas festivities for many this year, according to a Post Office survey.

It found four in ten consumers are worried they will not be able to afford Christmas this year, with 83 per cent saying the cost of living will impact on festivities.

One-third of parents worry that their children will be upset at not receiving as many gifts, with around one in eight saying they are extremely worried.

The Post Office research of 2005 UK adults found a quarter say they plan to spend less money on close family and over a third will spend less on extended family and friends – with half saying Christmas will be a smaller occasion this year.

It also emerged that almost one in six plans on making homemade gifts with the number one reason being to save money while more than half think it’s more thoughtful and over a third do so to be creative.

It comes as the Post Office announced that it handled a record £3.45 billion in cash during August, with branches on track to further this record in October.

As Christmas edges closer, Post Office is encouraging consumers to get ahead and post letters and parcels early.

Kristian Latham, head of letters and parcels at the Post Office said: "Our research has shown that the cost of living will be impacting Christmas for many this year as households tighten purse strings.

"This is set to affect how we shop, with more and more consumers planning on buying gifts earlier for financial reasons.

"Our branches will be open as usual in the run up to Christmas, helping consumers to post early as well.

"This is a great way to make the most of cheaper posting rates, whilst leaving plenty of time for cards and gifts to arrive before the big day."

Despite half feeling excited, happy or optimistic about Christmas, the number of people feeling anxious and sad about the occasion has increased from just over one in six last year to almost one in four.

More on cost of living

The Post Office study went on to find that half of Brits shopping earlier this year are doing so to be more organised, with a third saying they make better decisions when not in a rush.

Kristian Latham continued: "As Brits gear up for the festive season, it’s important to choose the best service for your precious gifts – the value of the item, speed of delivery needed and any tracking requirements are all important.

"If in doubt, our expert Postmasters can recommend what’s best for your parcels.

"If you are posting goods or gifts abroad, being aware of what can and can’t be posted and getting customs forms right are vital to ensure parcels are not delayed or returned.

"Guidelines to filling in customs forms correctly are on our website and of course our Postmasters are always on hand to help.”

Go to Postoffice.co.uk/Christmas for more information.

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