Prices have risen to a level that many households can hardly bear. Even with government measures to cushion the impact, everyday goods cost more, and family budgets feel the squeeze more acutely. The Valencian Community faces a notably sharper strain.
In Alicante, Valencia, and Castellón, up to 86% of households report already feeling the effects. Inflation runs roughly four percentage points above the national average, according to a European consumer payments report by Intrum, a firm specialized in debt management and collections and owner of a real estate company.
Around 64% of those surveyed say they have already altered how they handle monthly expenses or plan to do so to preserve purchasing power. Social life is typically the first casualty as households tighten belts.
Up to 63% of respondents report reduced autonomy and have started limiting dining out with friends or family, and engaging in leisure activities overall. This concern is higher than the national average, with 58% of families considering such cutbacks to balance the month’s end.
Additionally, 62% of Valencia Community residents say they have shifted more purchases toward discount retailers, where private labels dominate, at the expense of leading brands. The gap with the national average is about 11 percentage points, signaling heightened inflation worry in the region.
cheap gifts
There is also sobering news for holiday spending. Forty-six percent say they will buy fewer gifts for family and friends this year (45% nationwide), which will be noticeable at many store checkouts this Christmas.
Not surprisingly, many shoppers are chasing value, with 35% reporting they are already seeking better deals or discounts.
Black Friday and Alicante e-commerce: more sales, fewer deep discounts
Inflation is also affecting subscriptions and open-access services like television platforms and the internet. Specifically, up to 32% of respondents say they have canceled one such subscription as part of austerity measures.
Conversely, only 11% plan to cut donations to NGOs and 8% intend to reduce their savings. It is worth noting that many households already struggle to save; when funds are scarce at month-end, those who can still set money aside tend to do so to weather future uncertainties.
As the report shows, one of the clearest effects of rising prices is a drop in overall consumption, which will dampen commercial activity and economic growth. Financial education becomes more important, with four in ten Spaniards saying they lack enough knowledge to manage personal finances in the current environment, according to José Luis Bellosta, managing director of Intrum Spain.
Another key finding is that up to 66% of those surveyed (62% nationally) report that under current price pressures they notice how much money is spent on unnecessary items.
defaults
Inflation is tightening families’ ability to pay, with increasing concern about the future. Despite some expense corrections, 31% of Valencians (21% nationally) reported not paying at least one bill on time in the last year. The main reason remains not having enough money at the moment to cover payments (56%), a figure similar to the national rate of 48%.
These numbers could worsen in the coming months. Twenty-one percent of Valencians expect energy prices to push bill payment difficulties higher, and 28% in Spain anticipate the same, placing the Valencian Community seven points below the European average of 35%.