About a third of South Australians intend to cut spending this Christmas, with most of those blaming the impact of COVID-19, a survey has found.
More than two-thirds intend to use cash rather than credit to buy presents with 64 per cent planning to limit gifts to about $100.
BankSA chief executive Nick Reade said the intention to spend less was at its highest level in a decade, since the aftermath of the global financial crisis, and reflected caution after a challenging year.
"People are indicating they don't want to be caught with high debt and financial stress heading into 2021," he said.
Mr Reade said it was also encouraging that 65 per cent intended to buy local goods and 60 per cent would shop in-store rather than online.
"There has been an upward trend of South Australians supporting locally made products over the past 12 months," he said.
"The impacts of COVID-19 on the state's small businesses, and a desire to help, is underpinning this strong positive shift to support and shop local."
Income security was cited as the top reason for people intending to spend less with high concern also about the global economy.
And while most people will use cash to fund the festive season, credit card use is still expected to increase, again linked to general financial pressures.
BankSA surveyed 300 people.
