European consumers expect to take on additional debt over the Christmas period

Bringing the family together and meeting expectations – these are the reasons why one in five Europeans take on additional debt at Christmas, according to Intrum’s annual consumer report conducted in 24 European countries. Although households with families are more likely to take on debt to pay for food and presents than the average consumer, the age group being most likely to do so is Generation Z (age 18-21).

“While one in three consumers feel that their financial wellbeing has deteriorated post-Covid, many also feel the urge to take on substantial levels of debt to celebrate the upcoming holidays together with their nearest and dearest. We know that Christmas is a time when many people feel pressured by expectations and spending, and this year we see that this is the case more than ever before – especially among young adults,” Anna Fall, Chief Brand & Communications Officer at Intrum, said.

Families and young adults are most likely to increase their debt during Christmas.

Households with children are more likely to take on debt to buy presents and food than those without. One in five parents says they take on more debt during Christmas, and many expect to be in more debt by the end of Christmas 2021 than ever before.

(WBJ)