UK socialising spending to fall 12 per cent over Christmas
Many UK consumers are expected to sharply cut their spending on gifts, socialising and food and drink this Christmas, according to accountancy firm Deloitte.
According to its 14th annual Christmas Retail Survey, the firm has claimed - unsurprisingly - that consumers are tightening the purse strings this year as the impact of the recession grows.
The biggest cutbacks are planned in socialising spend, with an average of £126 expected to be spent this year, 12 per cent down on last year.
However Deloitte said it would not be all bad news for pubs and restaurants.
While total spend in all categories is expected to decline, more than half - 57 per cent - of UK consumers said they intended to spend the same amount this Christmas as they did last year.
The survey found what it described as "significant differences" in spending around the UK.
People living in London plan on spending the most this year at £158, followed by those living in Northern Ireland who plan to spend £155. People living in the North East are expected to spend the least - just £90 each.
Glyn Bunting, partner in the hospitality & leisure team at Deloitte said: "Despite significant concerns in the pubs and restaurant sector, operators with a strong food offering are cautiously optimistic about Christmas, although rather nervous about a possible New Year hangover persisting well into 2009.
"Whilst consumers do not seem to be spending less when they go out, they are going out less frequently. This in turn is driving people to branded outlets where there is a guarantee of consistency in the value and quality of food.
"Additionally, consumers are taking advantage of the many promotions that the big brand restaurants are offering.
"Accordingly, the pubs and restaurants sector has a renewed focus on value for money and quality of food offering. Wet-led pubs are suffering at the moment, following the poor weather over the summer with the absence of a food offering over the festive period."
Region Average socialising spend
Scotland £137
Northern Ireland £155
North East £90
North West £112
Yorks/Humberside £112
Midlands £135
Wales £99
South East £127
Greater London £158
South West £97
