In its latest survey, Finder found that around 10.6 million Australians will be under bill stress over the holiday period, with the cost of groceries (33 per cent), petrol (24 per cent) and energy (19 per cent) rounding out the top three expenses.
More than 1 in 10 (14 per cent) will face pressure with rental payments, while 11 per cent will find it hard to pay off credit card debt.
Graham Cooke, head of consumer research at Finder, said Australians have faced record inflation, pushing up the cost of food, electricity and petrol.
“High household costs have left some Aussies with the tough decision as to whether they put food on the table or presents under the tree this Christmas,” he said.
Households in NSW will struggle the most (56 per cent), followed by Victoria (52 per cent) and Queensland (45 per cent).
Finder analysis revealed that, despite record inflation, a Christmas lunch could be purchased for less than it cost seven years ago.
Notable reductions included ham (from $9 to $8.50 per kilogram), mince pies ($5 to $2.75) and white rolls ($3.50 to $2.85).
The Salvation Army said in its own research that it found that three in 10 Australians will struggle to pay for utilities this Christmas, and this rises to 55 per cent amongst those who access The Salvation Army’s services.
The Salvation Army’s major Bruce Harmer said Australians are making tough decisions, such as whether to pay an electricity bill or buy a Christmas present for their child.
“Others are choosing to go without food and medication to ensure their children have food on the table,” he said.
The Salvation Army’s internal survey of clients found that 77 per cent of respondents are struggling to afford enough food to eat this Christmas, and more than four in five (82 per cent) households with children responded that they were worried about affording presents for their children this Christmas.
The Salvation Army also commissioned a survey to be conducted by PureProfile, which found that over half of Australians (52 per cent) are more stressed about their finances this year compared to last year.
It also revealed that 3.9 million Australians (15 per cent) are concerned about their children missing out on presents this Christmas, and 1.7 million (7 per cent) are concerned their children will miss out on food, while 5.4 million Australians (21 per cent) are worried about how they will afford enough food at Christmas.
Additionally, PureProfile research found that 28 per cent of Australians will be going into debt to pay for Christmas (Afterpay; buy now, pay later; credit cards).
