Brits set to splash out a whopping £22bn over this Christmas period
This is an average spend of £445 per person this year, up 1.8% on last year’s figure of £437 per person, representing an extra £1 billion in overall spend.
The survey questioned over 2,000 British adults and found spend will be highest amongst 35-54 year olds at £491 per person.
The total falls to £423 for those aged 55 and over and £415 for those aged 18 to 34.
Those in the North East are set to spend the most with an average of £595 per person, followed by those in Wales at £531.
Shoppers in the East Midlands are expecting to spend the least averaging at £355 each.
Clare Francis, financial expert at MoneySupermarket, said: “Christmas shopping is a significant area of expenditure for parents in particular.
“And with only one pay day left for most people until Christmas, it is important to take steps now to manage your finances in the run up to the big day – and beyond.
However, one in five, expect funding Christmas to get them further into debt this year, rising to one in four (25%) for those age 18 – 34 vs. 21 per cent of 35 – 54 year olds and 12% of over 55s.
Of those surveyed, only 15% of Brits are expecting their December salary to cover Christmas spend.
Francis continued: “A recent survey of MoneySupermarket visitors found, only 37% will fund Christmas using disposable income this year with an encouraging 34% planning to use their savings. Using a credit or store card was the next most popular option for one in ten.
“A credit card offering interest free purchases could be a good option for those looking for flexibility and an efficient way to spread the cost of Christmas.
“Leading products such as the Tesco Clubcard Credit Card offer up to 16 months of interest free on purchases. However, anyone taking up this option must ensure they are able to pay off the debt into the New Year.
“A cashback card such as the Barclaycard Cashback Credit Card or the American Express Platinum Cashback Card may also be good options for those looking to be rewarded for their Christmas spend.
“Finally, using vouchers and searching online for the best deals on gifts and other items will also help your money go further.”
Amongst those planning to spend money this Christmas, 73% expect to spend most of their Christmas budget on presents, with mums and dads planning to part with £132 per child on gifts alone.
Parents are also concerned over the current financial climate, with some feeling that they are under pressure to fork out more than they can afford on their children’s presents.
However, a third said they are prepared to spend whatever it takes to give their children a happy Christmas.
When asked the maximum amount parents would ever consider spending on an individual present for their child, £131 came out as the purchase tipping point.