Six in 10 people (59%), including 65% of those aged 25-44, are extremely worried about the cost-of-living crisis, research from PayPal shows.

Two-thirds of the 1,000 Irish people polled by the payments company (66%) are planning to cut back on going or eating out, impacting pubs, restaurants, and cafes, making it the top lifestyle change in response to costs becoming less manageable.

However, female respondents (72%) were found to be more open to going or eating out less than male respondents (49%) to the survey, which aims to explore changes in spending habits in order to navigate the present crisis.

Some 63% said they are planning to buy fewer items and less often, while 62% are switching to cheaper brands as part of efforts to make more conscious choices when shopping.

Furthermore, the study found that some 31% say they will buy second-hand items and nearly four in ten (37%) plan to change utility providers for the best deals on energy, including electricity and gas. 

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A third (33%) plan to shop online for what they need so as not to give into temptation in store, while 32% will host friends for drinks rather than going out, and 27% intend to take up outdoor exercise rather than having a gym membership.

However, 44% of consumers will continue to focus on building up their savings, and significant numbers were loathed to give up their gym membership and healthy food options (24%), and buying coffee, drinks and snacks from cafés or coffee shops (23%).

Over three quarters of people (79%) agree that while changes to spending habits are necessary due to the crisis, women (83%) were more likely than men (68%) to agree that it is important to occasionally spend money on a treat.

Around 72% said they have had to pause plans they had made to make up for lost time during Covid-19, except for popular niceties: including an occasional meal at a restaurant (43%), takeaways (42%), nights out (37%), cinema trips (30%) and beauty treatments (30%).

The survey reveals that nearly half (47%) of people are open to splitting costs with friends, family or housemates to enjoy more group experiences over the coming months.

Those aged 16 to 24 are most likely to do this (58%), while those over 55 are least likely (17%).

The report also found that six in 10 (58%) are planning to track their spending and create budgets (53%), two-thirds (65%) will seek discounts, coupons and promotions, and 39% plan to track their spending via their bank or digital wallet.

Nearly half (49%) of respondents are more likely to split the cost of a meal at a restaurant in response to the cost-of-living crisis.

Some 44% said they are more likely to split costs on taxis and transport fares, and 43% are more inclined to do so on food takeaways. Nearly a third are even more likely to split the cost of group drinks or dinner cooked at someone’s home (29%).

Speaking about the findings, PayPal's Maeve Dorman said: “The cost-of-living crisis is impacting everyone.

"Without a doubt, it’s a challenging time and people are adapting quickly and making changes. While some are taking more ownership of their spending, others are sharing expenses to enjoy shared experiences.

“Splitting bills appears to be the perfect antidote for a lot of people because it allows them to manage their budget and still do the things they love."

The survey was conducted only by Censuswide on behalf of PayPal last month.

Photo: Maeve Dorman, senior vice president of customer success at PayPal.