One in eight people in Yorkshire can't pay for Christmas from their savings or earnings

A fairytale Christmas like this one at Chatsworth House is out of the question for many in Yorkshire

For some, the answer is to borrow the money and the research shows that borrowing for Christmas can have long lasting effects on the rest of the following year. Of the people we asked, one in four of them were still repaying loans, credit cards or other borrowing they took out to pay for the cost of Christmas 2015.

It’s clear that some Yorkshire residents feel the pressure to borrow a significant amount of money, as almost a third of people say that they still owe over £1,000. One in eight people said that they will definitely need to borrow to cover the cost of Christmas. So some people will find themselves in a position where they’re still paying off last Christmas, and are unsure how they’ll manage the cost of this Christmas as well as their repayments.

Unsurprisingly, there are some that dread the festive season simply because of the financial pressure. Over one in five said that they dread this time of year because it’s unaffordable.

It’s sad to think that there might be some people considering not celebrating Christmas this year because they can’t afford it. While you’re bound to spend more money than usual this time of year, Christmas should not force you into a difficult financial situation for the rest of the year.

Planning your Christmas budget as much as you can should alleviate some of the worry about money. Go through your finances carefully and work out how much you can afford to spend on Christmas. It’s really important that you do this before you start your shopping to avoid any mishaps and accidental overspending.

Put certain amounts aside for specific things. For example, put some money aside for food and presents and decorations, if you need any. You might not be able to buy everything you want, but at least you know you won’t be going over budget.

If you’re struggling to repay the debt that you took out for last Christmas, it’s not a good idea to borrow more – in the long run this will just make things worse. There’s always a way to deal with any kind of debt, so be sure to seek the advice of a trained debt advisor if you’re in this situation.

Debt Advisory Centre: 0161 871 4881