UK consumers start to cut non-essential spending

Over half of UK consumers have cut non-essential spending in 2023, according to a KPMG survey.

Some 55 per cent of respondents said about reducing secondary costs, and 63 per cent began to spend less in restaurants, Interfax reports.

Half of the consumers intend to further reduce non-essential expenses if they are not subject to the state energy rebate program (Energy Bills Support Scheme, EBSS) from April.

From October 2022 to March 2023, Britons received an EBSS rebate of around £67 per month, but eligibility will now be based on income.

About a third of those surveyed plan to use the money saved to pay for electricity if they don't receive discounts, and 38 per cent cited utility costs as the main factor that will limit their non-essential costs in the next 3 months.

In addition, every third British consumer this year buys goods in cheaper stores.