Brits least concerned (20%) about living costs affecting credit scores in Europe, compared to 37% of other Europeans, led by France at 49%.
According to CRIF, a European provider of digital transformation solutions, only one in five British citizens are concerned about how the cost of living problem would affect their credit score, despite the fact that it is having an impact on how individuals spend and use money. Despite the significant impact that the expense of living is having on them, consumers in the UK are actually the least likely to be concerned about it in all of Europe.
37 percent of Europeans (excluding the UK) expressed concern about the effect on their credit score, according to the CRIF whitepaper. This amounted to about 50% of the total population of France (49%) and was followed by Spain (45%) and Italy (44%).
These results are based on a cross-European study conducted by CRIF that polled thousands of adults in the UK, France, Italy, Germany, Austria, and Spain. The findings are included in CRIF’s Banking on Banks report, which examines how Europeans manage their money and financial service providers in these difficult economic times.
A shift in perspective
However, compared to the rest of Europe, why do British people not seem to be as affected by the cost of living crisis? One would assume that British citizens would be feeling the effects of the Bank of England’s 14 consecutive interest rate increases before they stagnated at 5.25 percent. Governor Andrew Bailey claims that rates have peaked, yet many UK citizens don’t appear to care.
Less than half of Britons (49%) said they felt the same way, whilst over two-thirds (63%) of Europeans believe the cost of living crisis has made them more cautious about taking on debt in the future. There are still more cultural attitudes present. The survey also reveals that 27% of Europeans are concerned that they could not be eligible for goods and services that they once would have. Only 19% of respondents in the UK, however, said they are concerned about this.
“Our extensive research across Europe shows that Brits have a different relationship to credit and lending than that of their European neighbours,” stated Sara Costantini, regional director of CRIF for the UK and Ireland.
Many in Britain appear less concerned about their credit score or staying out of debt in the future, while many on the continent are considering how they might strengthen their finances to better survive future economic shocks.
“Banks and lenders have a clear responsibility to make sure that British consumers are using credit sensibly and can afford to pay it back. Lenders can better understand their customers’ needs and offer them services and insights that can help them improve their financial health by utilizing the most recent advancements in digital banking.
