Cautious Gen Zs are limiting their spending in pubs and clubs and spending their money instead – on insurance Bedford News

A poll of 2,000 adults has revealed the country’s spending priorities for the next 12 months.

More than one in three (35%) young people aged 18 to 24 plan to spend more on insurance, compared to only 11% of those aged 45 to 54.

This comes as Gen Zers have been found to already have more insurance coverage for their belongings than older age groups.

The younger generation is four times more likely to insure jewelry than 55-64 year olds (35% to 8% respectively) and twice as likely to insure watches (26%) compared to the same age group.

It also emerged that 37% of 18-24 year olds are willing to spend more on family experiences, compared to just one in 10 of 55-64 year olds.

Across all age groups, dining out (31%), vacations and travel (27%) and clothing (22%) are the things they seek to spend more money on.

However, the UK’s vibrant nightlife sector could struggle as only one in 10 plan to spend more money on pubs, clubs and alcohol.

Claudio Gienal, CEO of AXA UK & Ireland, who commissioned the research, said: “The cost of living crisis has understandably made many people nervous about what lies ahead.

“The Chancellor’s decision to lower the basic rate of income tax from 20% to 19%, an increase in the National Insurance (NI) payment threshold of £3,000 and fuel tax reduced by 5p shows that the government knows that budgets are tight.

“But despite this challenging climate, our research highlights the value we place on experiences with family and friends and the importance of spending time together.

“In these uncertain times, it is also interesting to note that younger age groups are most likely to protect their assets through insurance and people generally plan to take out more insurance over the course of their lives. the year to come.

“It suggests they don’t see insurance as a luxury but as a vital safety net that allows them to get on with their lives and do the things they love.”

The study also found that when it comes to tightening the purse strings over the next 12 months, 24% of adults plan to spend less on clothes, while others will cut back on eating out (19 %) and the purchase of electronic devices and gadgets (18 percent).

Others will also reduce spending on jewelry (17%) and home improvement (16%).

Nearly one in four (24%) of Gen Zers plan to spend less on cars next year, while more than a quarter of 45-54 year olds expect to cut back on their eating habits.

But while 60% of men think they are cautious shoppers compared to 53% of women, they spend more on impulse purchases – £21 a week compared to £16.60 a week.

Although Gen Z spent more than any other age group on impulse purchases, splurging £28.80 a week, compared to just £11.90 for people aged 55-64.

And the younger generation expects to spend three times as much money on coffee to go as the over-55s.

Londoners spent £30.30 on impulse purchases, with Northern Ireland (£23.80) and the North East (£20.80) making up the top three regions.

The East Midlands (£13.20), South West (£14.80) and South East (£15.40) were the most frugal regions, according to the survey conducted via OnePoll.

Claudio Gienal added: “It’s fascinating to see how the nation plans to spend its money in the coming months.

“An uncertain economic environment creates a generational divide, which means that different age groups prioritize different activities when it comes to their spending.

“The lifting of coronavirus restrictions may explain why more than a quarter of Britons plan to spend more money on holidays and travel, despite rising inflation and economic uncertainty.”

1. Coffee to go – 37%

2. Insurance – 35%

4. Eating out – 33%

5. Cars and vehicles – 31%

6. Electronics and gadgets – 30%

7. Jewelry – 24%

8. Nightlife like clubs, bars and pubs – 19%

9. Home Improvements – 18%

10. Furniture – 16%