Parents borrowing to fund summer holidays

Many parents are risking falling into debt to cover the cost of the summer holidays.

According to Loqbox, 81% of parents are feeling financially stressed this summer - and 52% feel worse off than they did a year ago.

As a result, many are choosing to borrow money.

Parents turning to credit cards, loans and BNPL

Nearly one in four (23%) parents are using credit cards and loans to fund the summer holiday.

That’s up from nearly one in five (17%) last year.

Meanwhile, almost one in ten (8.4%) are using buy now, pay later (BNPL).

“Parents are under real financial pressure right now,” said Tom Eyre, chief executive of Loqbox.
 
“From childcare and travel to school supplies, it’s all adding up, and families feel the squeeze from every direction.”

Fewer parents budgeting

Another factor that’s adding to the financial pressure is that many parents aren’t keeping a close eye on their household budget.

Just 26% of parents are actively budgeting this year - down from 34% in 2024.

If you’re struggling to cover the cost of the summer holidays this year, you can take charge of your spending and see where you can make savings with our handy budget planner.

We’ve also put together a handy guide on how to create a budget to help you get started.

Help is available

We’re here to help you take control of your finances, even in the toughest of circumstances, so please don’t hesitate to get in touch for practical, impartial advice.

As well as helping you budget, we can check you’re getting all the benefits you’re entitled to.

And if you owe money and are struggling with repayments, we’re here to give you debt advice.