Nationwide Building Society has issued an update to its customers regarding a payment change, directing them to assistance available through the Nationwide app. The announcement follows the distribution of a £100 bonus payment to millions of customers and reveals shifts in spending behavior linked to global events.
Holiday Spending Declines Amid Global Concerns
Research by Nationwide indicates that members are altering their summer holiday plans due to anxieties over the Iran conflict and potential fuel shortages affecting air travel. The average customer spend on holidays between January and April 2026 was £492, down from £498 during the same period in 2025. A survey of 2,000 customers in May found that nearly a quarter had changed their plans due to global uncertainties.
Of those who adjusted their plans, almost 30% are delaying decisions, over 20% chose a UK holiday instead of traveling abroad, 15% canceled their holidays entirely, and another 15% opted for day trips. Mark Nalder, payments director at Nationwide, commented: 'Our latest research shows that uncertainty this year is having a clear impact on people's holiday plans. It could also be we are seeing the rise of the 'delaycation' as many choose to delay booking holidays, while a growing number are cancelling plans or opting for UK staycations to keep a tighter grip on their finances and budgets.'
Support and Budgeting Tools Available
Mr. Nalder highlighted that support is accessible online, stating: 'Quick transfer features and budgeting tools like those on our app can be a big help when balancing spending and manage money when plans change.' Nationwide's website also offers advice on creating a budget.
How to Create a Budget
Nationwide recommends starting by calculating monthly income, including take-home pay (after taxes, pension contributions, and student loan repayments), benefits or tax credits, extra money from sources like selling second-hand items, and dividends from shares. Next, calculate regular spending by reviewing paper statements, spreadsheets, or using an app. It is crucial to record all expenses, including rent or mortgage, bills, subscriptions, eating out, and impulse buys.
The 50-30-20 Rule
Nationwide suggests the 50-30-20 rule as a planning tool: allocate 50% of after-tax income to musts (fixed outgoings and essential living expenses), 30% to wants (day-to-day spending and enjoyment), and 20% to savings or debt reduction (paying more than minimum payments or saving in accounts, ISAs, or investments). For example, with £1,500 monthly after-tax income, allocate £750 to musts, £450 to wants, and £300 to savings or debt.
