More than half of the British public are scaling back on Christmas presents this year, a major new poll has indicated, as rising household costs force a festive spending squeeze.
The Festive Financial Squeeze
A representative survey of 2,138 adults, conducted by Savanta between December 12 and 15, found that 51% of Britons are buying fewer gifts for friends and family. The research, commissioned by the Liberal Democrats, points to a stark 'cost-of-giving crisis' influenced by sustained price increases for everyday goods.
The financial pressure is altering traditional Christmas plans beyond gift-giving. The poll revealed that 37% of the public will host fewer guests, or even no guests at all, on Christmas Day. Furthermore, 45% plan to stay home instead of visiting loved ones to save on travel and other expenses.
Broader Cutbacks and Political Claims
The belt-tightening extends to seasonal socialising and shopping habits. According to the data, 45% of Brits intend to cut back on visits to pubs or restaurants this festive season, while 55% are switching to cheaper supermarkets to manage their budgets.
Daisy Cooper, the Lib Dem Treasury spokesperson, criticised the government's response. "It's depressing to think that this time of Christmas cheer will be dampened for huge numbers of Brits," she said. "This Government is allowing a cost-of-giving crisis to grip our country and refusing to take action to fix it." She urged the Prime Minister to adopt Lib Dem proposals to cut energy bills and slash VAT for hospitality, claiming it could put £270 back in people's pockets.
Labour's Economic Narrative
Meanwhile, the Labour Party has sought to highlight its economic record since winning the 2024 general election. The party cites Office for National Statistics data showing median weekly earnings rose from June 2024 under the Conservatives to October 2025. They claim annual pay increased from £35,965 to £38,404, leaving workers £516 better off on average after accounting for inflation.
James Murray, Chief Secretary to the Treasury, stated: "Putting more money in working people's pockets is the priority for this Labour Government." He acknowledged fixing the economy "was always going to take time" but pointed to falling inflation and interest rate cuts. Downing Street chief of staff Morgan McSweeney has reportedly told political staff that 2026 will be a 'year of proof' for the government's agenda.
The contrasting data presents a complex picture of the UK's financial health, where official wage growth statistics collide with the tangible spending cutbacks reported by millions of households facing a constrained Christmas.
