Brits ditch costly subscriptions en masse due to fast-shrinking budgets

The UK streaming boom is officially over after the number of homes with services such as Netflix, Amazon and Disney+ fell in the first quarter, as the cost of living crisis forced hundreds of thousands of streaming fans to slim down their subscriptions to just a few favourites.

New figures out this morning show that the growth of the “subscription economy” is stalling rapidly as living costs squeeze household budgets and people return to pre-coronavirus pandemic routines.

More than a third (36%) of people say they have cancelled at least one subscription because their disposable income has fallen as interest rates and inflation climb, with 31% citing higher prices as a reason why, according to Barclaycard Payments.

Entertainment platforms and beauty and grooming kits are among the categories most likely to have been cut back on.

The proportion of households signed up to subscriptions has dipped from around four in five (81%) a year ago to two-thirds (67%), according to Barclaycard Payments.