Today we’re revealing the first findings from our brand new research, the Zilch Credit Confidence study, which finds that millions of Brits are using credit more strategically than ever – not out of desperation, but to get more from every pound they spend.
Ask someone why they use credit and you might expect answers like “I couldn’t afford it otherwise” or “it was an emergency”. But something has quietly shifted in the way Britain uses credit. Our new Credit Confidence study, which surveyed over 10,000 UK adults and more than 6,600 credit users with YouGov, puts numbers to a change that many of us have already felt.
More than half of credit users (52%) surveyed now say they use credit primarily as a financial tool. Just 19% say they rely on it out of necessity.
That’s a significant shift, and it changes what we should expect from credit products.
Credit is showing up everywhere – and rewards are part of the reason
Credit is no longer something people only reach for when buying a car or booking a holiday. It’s woven into everyday life – the weekly shop, filling the car up, dinner out.
More than a third of UK credit users (36%) use it for clothing and a third (33%) for their weekly food shop, with fuel (28%) and dining out/takeaways (29%) not far behind.
But the most revealing finding is the reason why – of those using credit for their grocery shop, 44% say the primary motivation is to earn rewards or points, compared to just 23% who say it’s a necessity. The same pattern holds for fuel (47% rewards vs 17% necessity) and dining out (43% rewards vs 14% necessity).
Far from being a financial lifeline, credit has become a tool millions of Brits are actively using to get more value from the money they spend every day.
Credit use is becoming more strategic, but a knowledge gap is emerging
Another interesting finding from the Study is that most people feel good about how they use credit.
Despite that self-assurance, a persistent knowledge gap is emerging. Nearly a third (32%) say credit agreements are difficult to understand, and over a quarter (27%) admit they don’t know how long it would take to repay their balances.
The gaps are especially pronounced among the people who are using credit the most. Women are more likely than men to find credit agreements difficult to understand (36% vs 28%). And 37% of 18 to 34-year-olds – the highest-growth credit demographic – struggle with the same.
Credit products need to keep up
So while consumers are using credit more strategically, with more intention and more ambition, many of the products that dominate the UK credit market were designed for outdated consumer behaviours, and don’t help consumers manage, understand, and enhance their everyday use of credit.
When we asked people what they want from credit, the answer was clear – and it goes well beyond access to borrowing.
Only 28% say that simple access to borrowing is sufficient. Almost everyone else wants more – tools to manage spending, rewards for using credit, and features that build their financial confidence over time. Yet only 10% say that using credit currently makes them feel empowered and in control.
These evolving expectations move credit from being a product designed for its traditional use of larger-scale borrowing and as a last resort, to a tool that needs to finance, optimise and reward different kinds of transactions.
What better looks like
Flexible payment options (32%), membership perks (27%), and discounts at partner retailers (24%) are some of the features most likely to drive adoption of a new credit product, according to our latest research.
Philip Belamant, Zilch Co-Founder and CEO, said:
“How we use credit has changed. It’s no longer something people use occasionally for big purchases and as a final option, but a tool that millions of people are attempting to use strategically to get more value from their spending. While the market has broadly accepted this expanded role for credit, it hasn’t been revolutionised yet and too many products are still built for borrower habits that no longer serve many credit users.
“At Zilch, we’ve built our platform around how people actually spend today. It’s one place to manage your spending, giving you flexible ways to pay and rewards in real-time, with embedded smart tools that simplify decisions and keep you in control.
“With almost six million customers, many of whom use Zilch every day, our model is testament to what can be achieved when credit is designed with the consumer front of mind.”
Our new Credit Confidence study makes it clear that the way Britain uses credit has moved on. The products need to follow suit.
Look out for more findings from the Credit Confidence study on our channels in the coming weeks.
Methodology
All figures, unless otherwise stated, are from YouGov Plc. Total sample size was 10,940 UK adults, of which 6,612 use credit. Fieldwork was undertaken between 7-13 April 2026. The survey was carried out online. The figures have been weighted and are representative of all UK adults (aged 18+).