Bank of Ireland has revealed a 30% surge in credit and debit card spend in the build-up to Christmas this year, compared to the same period last year.
The bank reported that December spending is already ahead of last year, with spending in the first four days of the month increasing by 14%, compared to last year.
It also found that the most common last-minute spenders are males aged 36-45 – likely a cohort of husbands and boyfriends running to stores at the last minute.
Debit and credit card spending data from Bank of Ireland has highlighted how the Irish population budgets for Christmas and the nature of festive spending.
The bank’s Financial Wellbeing Index found that just over half of respondents (53%) said that they occasionally, rarely or never plan ahead to cover upcoming expenses, while some 59% said that they put money aside every month to cover unexpected day-to-day expenses.
In addition to this, some 49% said that they feel confident managing money, while the same proportion agreed that thinking about their financial situation made them anxious.
Trends
Based on 2023 insights, Bank of Ireland reported that 22 December was the biggest Christmas spending day, surpassing Black Friday by 20% and Cyber Monday by 90%.
Inflation last year was high, and as it has settled this year, customers appear to be more willing to spend, though they still remain cautious.
Sectors already experiencing a boost – compared to the same period last year – include beauty (96%), electrical (56%), clothing (25%), toys (17%), restaurants (8%) and pubs (2%).
In the grocery sector, the last ‘big shop’ happened on 23 December in 2023 – the biggest grocery shopping day on credit and debit cards recorded that year.
In terms of age, 13- to 17-year-olds recorded the highest spend percentage spike in early December 2024, while 36- to 45-year-olds have actually spent the most money to date, compared to 2023.
‘Uptick In Spending’
The head of financial well-being at Bank of Ireland, Dawn Bailey, said, “This year, we are already seeing an uptick in spending on Bank of Ireland debit and credit cards, as Christmas shopping begins in earnest.
“[The] Bank of Ireland Financial Wellbeing Index for 2024 shows a broadly similar sentiment to last year, with some modest movements across the spend, save, borrow and plan areas.
“Regular saving helps to improve our overall financial resilience and reach our long-term financial goals.
“When it comes to Christmas and other calendar occasions or big life events, planning ahead is probably the most important first step in managing and being in control of your finances.
“Planning ahead helps ensure we are in a good position to cover upcoming expenses and manage those bigger life moments – both expected and unexpected.
“Yet, just over half of the population say that they occasionally, rarely or never plan ahead for upcoming expenses, which is concerning.
“Both saving and planning ahead are areas where we could focus on as a nation.
“To support customers with their financial well-being, we have advice on our website on how to budget and plan throughout the year.”
Budgeting
Bank of Ireland has issued a few reminders to consumers when budgeting for the festive season.
It suggested planning finances, as many December salaries are paid early, so ensure that money for bills and essentials is put aside.
Be smart with the food shop ahead of Christmas, buying one or two essentials each week – by spreading out the cost, shoppers can manage financial worries.
Finally, it advises customers to be extra-vigilant of scams – Bank of Ireland’s fraud team is available 24/7 across the festive period, including Christmas Day, at 1800 946 764.
Read More: ISME Calls For Shoppers To Support Irish Businesses This Christmas
