Nearly three-quarters of tenants (73%) feel heightened financial pressure during the festive period, latest research from Zero Deposit reveals.
The added costs of holiday gifts, social gatherings and festive treats amplify the strain many already face in their monthly budgets.
The survey, commissioned by Zero Deposit, highlights that 65% of renters struggle with the cost of living after covering essentials like rent and utility bills.
The average monthly rent in England now stands at £1,348, with tenants spending an additional £415 on council tax, energy, water, and broadband.
LIMITED FUNDS
With a typical net income of £2,634 per month, renters allocate 67% of their earnings toward housing-related expenses, leaving limited funds for other necessities or discretionary spending.
The festive season adds another layer of financial burden, as costs rise for gifts, food, and a packed social calendar. Zero Deposit’s research shows that purchasing gifts for friends and family is the top source of festive pressure, followed by increased spending on food and drink and a busier-than-usual schedule of social events.
As a result, 66% of tenants plan to cut back on their usual Christmas spending, with social outings being the primary area of reduction.
FINANCIAL STRAIN

Sam Reynolds, Chief Executive of Zero Deposit, says: “The rental market can be tough even in the best of times, and Christmas only heightens the financial strain.
“Tenants already spend a significant portion of their earnings on rent and related costs, leaving little room for festive indulgences.
“Unfortunately, there’s no quick fix. Rising rents, driven by supply-demand imbalances, remain a significant issue. While Labour’s pledge to build 1.5 million homes could help, history shows us that such targets are rarely met.”
WORSE TO COME
And looking ahead, Reynolds warns the situation may get even worse. He adds: “Legislative changes have consistently discouraged landlords from entering or staying in the rental market, exacerbating the crisis.
“With these trends unlikely to shift in 2025, many tenants may find the next holiday season even bleaker.”