More than 50% of UK residents are concerned about their own post-lockdown spending. With restrictions easing and businesses reopening, many are worried about their finances and the risk of overspending.
A survey of 2000 people by mobile money app Monese found that Millenials are particularly worried about their spending post-lockdown, with more than 72% of respondents citing financial concerns.
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“Naturally, with so many more options available to us, it could be easy to lose track of what is being spent,” says Sarah Holt, head of partnerships at Monese. “Our survey revealed that many people are nervous about this.”
What the numbers say about post-lockdown spending
Concerns about post-lockdown spending vary from region to region. A whopping 67% of Londoners are concerned about overspending when things reopen. At the other end of the country, in Newcastle, the figure is still high at 61%.
Not everybody is looking to spend on the same things, however. Restaurants are at the top of the list, with 45% of Brits saying they cannot wait to spend some money eating out. Shopping (43%), going out to the pub for a drink (37%) and getting a haircut (36%) are also big priorities.
Worried about your own post-lockdown spending? Monese has put together some tips to help you control your spending as the world starts reopening.
How to keep your post-lockdown spending under control
1. Work out a basic budget
Before you go out and start spending again, take a look at what you’re earning and what your current expenses are. Even if you had a budget before the lockdown, it might be time for an update.
Maybe your income has changed (especially if you’re self-employed) or your expenses have shifted (less money on transportation, more money on takeaways). Refreshing your budget will give you a clear idea of where you stand today.
2. Pay attention to new spending
Did you add non-essentials to your budget during the pandemic? Are you planning on keeping those luxuries post-lockdown? If you don’t cut down on all the new takeaways and streaming services, can you still afford to go out with friends several times a week? If the numbers don’t add up, you might have to make some choices.
3. Keep track of your spending
Still unsure of where your money is going? Monese recommends tracking where your money is going for a few weeks. You might be automatically paying for things you no longer use and can cancel to free up money for post-lockdown spending.
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4. Leave your savings alone
You might be tempted to withdraw some ‘rainy day’ money to treat yourself post-lockdown, but this is never a good idea.
Recent research showed that 57% of Brits took steps to boost their savings during the lockdowns, resulting in larger emergency funds. If you’re one of them, it might sound OK to take some of that money out, but resist the temptation and instead leave that money where it is for a real emergency.
5. Pace your post-lockdown spending
After such a long lockdown, it’s tempting to go out for dinner, drinks and shopping splurges as often as possible. But packing everything into the first couple of weeks could leave you craving more as the month wears on – even if you’re already over budget.
To help you spend more reasonably, make a list of things you’re looking forward to doing after restrictions ease. Then pick one or two per week.
