Yet a new poll from AJ Bell and Opinium has uncovered an unexpected development. This is indicative of the fact that adults in relationships are concealing their spending patterns. The research revealed that more than half of British adults admit to committing hidden purchases. Not surprisingly, the first thing on the list is clothing—the most popular item for both genders.
The survey included written comments from 4,000 respondents. It showed that one in five men and one in three women bought clothing that they failed to declare in the past 12 months. On average, men spent a whopping £2,545 behind their partner’s back, while women hid an average of £1,769.
Moreover, these findings show that shadow spending extends beyond apparel. Others privately used these funds to purchase unhealthy vices such as cigarettes and alcohol. Surprisingly, 19% of men confessed to owning up to such purchases. Adults aged 55 and over said they spent an average secret spend of £384. In the meantime, Generation Z led the pack at a staggering £4,303 accrued on the down-low.
Commenting on the findings, Laura Suter, personal finance director at investment firm AJ Bell, described the impact of these costs on unknowingly adding to inflation. Her research suggests that secret spending is a red flag and can even be an indicator of impending monetary-related clashes among partners. “Secret spending is likely to be one of the quickest routes to financial friction in a couple,” she stated.
Suter focused on the need for transparency around how every dollar is spent, and while routine spending can be more of an open secret, major purchases clearly need to be above board. “Ultimately, you don’t have to report every time you buy a coffee or get your nails done to your partner, but major costs, recurring habits or anything that risks derailing a joint financial plan should be on the table,” she explained.
The survey opened our eyes to other forms of hidden spending. British adults are now hiding the costs of their clothing purchases, beauty products, gambling and cryptocurrencies. This trend speaks to the challenges Americans face in budgeting for the unexpected. Without transparency regarding spending habits, it becomes “difficult to budget properly or plan for longer-term goals like buying a home, building an emergency pot or saving for retirement,” according to Suter.