Many of us are worried that rising debts and mortgage payment worries means that Christmas may have to be cancelled this year! One in three Brits are planning to have a credit crunch christmas by ‘recycling’ the unwanted Christmas presents that they received last year.

Over half of UK families have admitted to finacially struggling and are looking for ways to cut back on their Christmas spending. The average amount of spending on Christmas presents may reduce by 22% to £301.

8% admit that they will be getting into futher debt this year and have no idea about when they will be paying the money back. As our previous article mentioned, many of us are still paying off our Christmas 2007 debt.

Jim Hodgkins, managing director of gave some wise advice: “Whatever you do spend this Christmas, you can improve your finances by remembering the crucial thing is to borrow responsibly.”