The Shopping for Christmas Report, put together by saving site Voucher Codes, has shown that UK consumers will spend £93.76bn over the six-week Christmas period (mid-November through end of December) - representing an extra £2.64bn on top of the £91.12bn spent in 2025.
While total retail spending is up, sales volume is expected to fall by a marginal 0.2% year-on-year. This indicates that the value growth is largely driven by inflationary pressures rather than consumers purchasing more items.
Despite dwindling purchase volume, the UK is set to lead Europe’s Christmas retail spend, with Germany ranking in second place.
Looking closer at where UK consumers are spending this Christmas, gifting is leading the way. With gifting spend predicted to rise 3.3% this year, shoppers will spend £11.97bn, outperforming groceries (£8.53bn), holiday travel (£2.36bn), and decorations (£0.65bn).
For 2026, alcohol and confectionery gifting is set to rise again, by 0.9% after rising by 2.6% in 2025.
Record breaking
Moji Oshisanya, chief commercial officer at the Voucher Codes site, said: “Our report shows that while festive spend is set to break records this year, the underlying data tells a less joyful story.
“Consumer budgets are under more stress than ever and after several years of cutting back…”
“Consumer budgets are under more stress than ever and after several years of cutting back, Brits are having to prioritise carefully how and where they spend their money to protect their most important Christmas traditions.
“Encouraging consumers to spend is going to be a challenge this year, so retailers will have to use every tool in their arsenal. From competitive pricing and discounts, to offering genuine value and a seamless customer experience, consumers need to feel confident that they’re making the right choice when shopping with you.”
No comments yet