UK consumers intend to spend an average of £6 more on Christmas this year and would prefer to buy gifts and food in-store, according to new research from Deloitte.
In its annual Christmas Survey, Deloitte found UK shopping budgets for the festive season are due to increase by an average of £6, to £567 – a 1.3% increase from the previous year. This compares to an average European festive budget of £395.
Of the £567, the majority of consumers will set aside £299 for presents, £143 for food and drink, £63 for socialising and £62 for travelling.
The survey found despite the increasing penetration of online retail sales, 60% of consumers still intend to buy Christmas presents on the high street and in-store. That was followed by 41% of presents being bought online without physical stores, and 27% of presents being bought through click and collect.
It also found 34% of UK consumers plan to buy the majority of their presents in November, with just 2% planning to make use of Black Friday discounts for gifts.
UK and North West Europe head of retail at Deloitte, Ian Geddes, said: “UK consumers are entering the festive season in a cautious mood, with the average budget set to rise by a slender £6 compared to Christmas 2018. That said, economic fundamentals remain strong, with real wages high and unemployment low.
“Additionally, many consumers are refusing to have Christmas spirits dampened by Brexit fatigue, in the context of ongoing delays. Our survey reveals 44% will, in fact, spend more to enjoy the festive period and ‘avoid thinking about the macroeconomic environment’.”
The survey data was obtained through a sample of 7,190 people in eight European countries, including 803 in the UK.
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