• Brits are wasting £183 million in unused subscription services and £117 million on hobbies they haven’t maintained
• 18 per cent kept paying for a service they didn’t use because of FOMO
• Meal box subscriptions are the most expensive collectively, £1.1 billion has been spent on them across the country since the first lockdown
• More than 13.1 million Brits started paying for a subscription service during the latest lockdown, spending more than £553 million

New research¹ from Direct Line Life Insurance reveals that since lockdown began in March 2020, Brits have wasted a collective £300 million on subscriptions and hobbies. A total of £183 million has been paid out for subscription services that haven’t been used over the past year and a further £117 million on hobbies that haven’t been maintained².

More than 19 million Brits started paying for a subscription service during the first lockdown in March 2020, falling to 13.9 million in the second lockdown last November and 13.1 million in the current lockdown. While people spend roughly £20 a month on hobbies they signed up to in lockdown, they feel they are wasting £10 a month on hobbies, and £15 a month on unused services respectively.

Overall, Brits spent £3 billion on subscription services in the first lockdown, but fewer than half (44 per cent) of those who signed up to a subscription service over lockdown actually continue to use the service now. A similar story is true for items relating to hobbies, nearly a fifth (19 per cent) of people who started a new hobby in lockdown gave up after a few tries, while only 50 per cent are still doing the hobby now.  

One of the reasons many people seem to be continuing to pay for services they aren’t using is due to FOMO, with around a fifth (18 per cent) of those who kept paying for a service they stopped using doing so because they didn’t want to feel left out in their friendship group or family. A further 18 per cent said they stopped using the service but kept paying for it because they thought it would encourage them to use it more.

The most popular subscription services in the first lockdown were TV and film streaming services including Netflix and Amazon Prime, with 17 per cent of people starting to pay for the service – the equivalent of 9.2 million people. This was followed by music streaming services (3.8 million or seven per cent) and online gaming services (3.4 million or six per cent).

Alongside music and gaming, Brits have been splashing out on meal box subscriptions and exercise classes to keep them entertained. During the first lockdown Brits spent the most collectively on meal box subscriptions coming to a whopping £1 billion, followed by online exercise classes (£406 million) and TV and film subscription services (£319 million). Alcohol delivery services are also popular, with people collectively forking out £276 million on booze during the first lockdown.

Table one: Average UK spend on subscription services in the first lockdown

Source: Direct Line Life Insurance 2021

During the second lockdown in November, the amount spent on subscriptions dropped to £477 million and then rose again to £580 million in January. On a monthly basis this translates to £703 million in the first nationwide lockdown, £520 million in the second lockdown and £553 million in the latest nationwide lockdown.

Vincent Guadagnino, Communications Manager at Direct Line Life Insurance, commented: “It’s understandable that so many of us have signed up to various subscription services in lockdown to keep ourselves entertained in such a testing time. Many businesses have done well to pivot to offering delivery services and the subscription model is a popular one, with food boxes, coffee subscriptions, reading clubs all available to sign up to.

“While many have maintained hobbies or still use subscriptions, as restrictions change and we are able to leave home more, it may be that some of these services or hobbies are used less frequently. It’s important to check your finances regularly to make sure you are still using the services you are paying for and cancel them if not, as these relatively small amounts can add up over time.”

When looking at hobbies, cooking and baking (10 per cent or 5.5. million people) was the most common for people to take up in the first lockdown. This was followed by gardening (10 per cent or 5.2 million) and reading (10 per cent or 5.4 million). In the latest lockdown, the most common hobbies remained cooking and baking (eight per cent or 4.4 million) and reading (six per cent or 3.2 million people). However, the third most common hobby to take up in lockdown three was arts and crafts with (six per cent or 3.1 million).

For further information please visit https://www.directline.com/life-cover

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Notes to Editors

1.      Research commissioned with Opinium among 2,000 UK Adults between 15^th and 19^th of January

2.      Analysis of between one and four online subscription services including TV/film streaming, music streaming, food box subscriptions, and gaming services.

For further information please contact:

Alannah Sims

Citigate Dewe Rogerson

Tel: 0207 025 6563

Email: [email protected]

Direct Line

Started in 1985, Direct Line became the first UK insurance company to use the telephone as its main channel of communication. It provides motor, home, travel, pet and life insurance cover direct to customers by phone or on-line.

Direct Line life insurance policies are underwritten by AIG, part of the American International Group UK Limited, registered office: The AIG Building, 58 Fenchurch Street, London EC3M 4AB. American International Group UK Limited is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and Prudential Regulation Authority (FRN number 781109. You can check the FCA register at www.fca.org.uk/register or call the FCA on 0800 111 6768.

Customers can find out more about Direct Line products or get a quote by calling 0800 077 8297 or visiting www.directline.com/life-cover.