With prices for many items, services and household essentials remaining uncomfortably high, many people are constantly on the lookout for ways to ‘tighten their belts’. One obvious way is to ‘cut out the middlemen’; however, data from a new survey shows that choosing price over convenience is not as clear-cut as one would imagine.
In this day and age, most people would immediately think that saving money would trump convenience; however, there will always be reasons why this isn’t possible.
For example, if you need to head out, there are potential parking charges to consider (that’s if you can find somewhere to park), how much time you have available time, the hassle factor, and there is always the renowned British weather to contend with, amongst a whole host of other factors.
Therefore, convenience, for some, will always be a default choice. However, opinions and choices could change when they start to look closely at how much it is actually costing them.
How much does convenience cost?
The survey from money.co.uk savings accounts has revealed the impact of opting for quick fixes on personal finances, with more than three in 10 people (35%) saying they are now overly reliant on services that offer convenience over savings.
When asked how much money Brits think they could save monthly if they didn’t do things out of convenience, the average amount totalled £44.72 – giving the annual figure of £536. However, this figure rises significantly when shop-bought lunches, takeaways, taxi journeys and menial household chores are accounted for, resulting in an additional £2,500 potentially saved.
The cost of living crisis has impacted people’s attitude towards spending, with over half of the UK (55%) now looking to cut down on convenience costs, with Belfast (61%), Birmingham (60%) and Edinburgh (60%) feeling the pinch the hardest.
More than six in 10 Brits (64%) now subscribe to premium versions of everyday services, such as Amazon Prime and Uber One, and more than one in four (26%) subscribe to recipe box delivery services – with almost half (46%) of the latter now saying they spend more on food as a result.
Similarly, more than a quarter (27%) of Brits pay extra for next-day delivery, with this figure rising to over a third for Gen Z (34%).
Household tasks such as DIY, gardening and laundry are costing Brits up to £62.03 a month – £744.36 per year.
Other costs incurred include £254 on taxis and public transport and £381 spent on takeaways annually.
Lucinda O’Brien, expert at money.co.uk savings accounts, said, “Our research into the spending and savings habits reveals how adults in the UK, in the search for convenience, are spending significantly more than those who are willing to wait. While spending on convenience certainly isn’t wrong, it is important to understand the impact this has on your monthly budget and your ability to save.
“According to our study, the average Brit could save more than £5,000 a year if they were to cut down on short taxi trips, takeaways and next-day delivery services. This spending could otherwise be put in a savings account to earn extra money and used as a buffer against the continuing rising cost of living crisis.”
Regionally, those in Plymouth declared they spend the most on making life more convenient, with the south coast city spending more than £60 per month and £720 per year for the pleasure – £184 more than the UK average.
The Top 5 Cities for Convenience Spending Per Month/Year
- Plymouth – £60.29/£723.48
- London – £50.47/£604.92
- Nottingham – £50.39/£604.68
- Glasgow – £48.22/£578.64
- Edinburgh – £46.80/£561.60
At the opposite end of the scale, those living in the Welsh capital, Cardiff, are more likely to prioritise finances over convenience – spending just £27 on convenience purchases each month and £324 per year, spending £212 less per year than the average UK adult.
Top 10 Savvy Save Cities Spending the Least on Convenience Per Month/Year
- Cardiff – £27.96/£323.52
- Newcastle – £33.12/£397.44
- Bristol – £33.34/£400.08
- Sheffield – £35.74/£428.88
- Brighton – £37.94/£455.28
- Manchester – £40.19/£482.28
- Southampton – £41.64/£499.68
- Norwich – £42.18/£506.16
- Belfast – £43.44/£521.28
- Leeds – £43.44/£521.28
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