The cost of Christmas: how to make seasonal savings

Christmas dinner may actually work out cheaper this year, but other treats could push the price of the festive season upwards.

Households are getting a “rare boost” when it comes to Christmas costs this year, said The Sun, as a turkey and all the trimmings for a family of four will cost an average £32.46.

That is down from last year’s £32.57, which was up 6.5% on the year before, according to market research firm Worldpanel by Numerator.

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But it may be “less merry” for those with a sweet tooth, said The Guardian, as the price of chocolate has increased by almost a fifth.

Christmas can come with a “sometimes-hefty price tag”, said YouGov. However, there are ways to have a more frugal festive period.

Christmas dinner

Christmas dinner is a “few pence” cheaper this year, said Kantar, as food inflation has held steady, and consumers still “find the space in their wallet” during the festive season to spend on treats, even when times are tough.

This year, Aldi’s Christmas dinner has been “crowned the cheapest”, said the Daily Mirror, with a “full festive spread” costing an “impressive” £11.75.

But you can still save money on turkey and the trimmings by shopping around, said The Sun. Watch out for offers on “festive classics”, especially on alcohol, and consider “downshifting”, from big brands to own labels and “swapping out” certain items such as fresh veg for frozen.

Supermarket loyalty schemes such as Tesco Clubcard or Nectar at Sainsbury’s have “gradually seduced even the sceptical”, said The Guardian, as they can help save good sums in the long run on your shopping. Given the “rising” cost of groceries, “it no longer makes sense to shop without joining a loyalty scheme when it is on offer”.

Cut back on Christmas presents

Christmas can be an expensive time and parents are typically planning to spend £100 each on their children, according to YouGov.

But as nice as it is to give or receive gifts, Christmas “isn’t a retail festival”, said MoneySavingExpert. Beyond grandparents and parents, consider who you are giving presents to or receiving them from amid an “ever-widening glut of friends, extended family and colleagues.”

Set a budget for presents, said The Independent, and be “open and honest about your finances with your loved ones”.

If you are buying gifts, “keep your eyes peeled” for deals and discounts, Wealthify advised, as being smart with your purchases “could get you the same things for less”.

Google Shopping and PriceSpy can help you track prices, and you can use websites such as Quidco and TopCashback to get money back on your spending at certain retailers.

DIY decorations

A “classic, traditional Christmas tree” such as a Nordmann fir can cost up to £316, according to tree delivery company Send Me A Christmas Tree. But competition is “fierce on the high street”, said The Guardian, and some are selling for as little as £15 in supermarkets.

You don’t have to buy decorations though, said TopCashback, and you could save money with a DIY Christmas by making your own wreath, baubles or door ornaments. “This even doubles up as a fun activity with the kids”, added the cashback website, and you could get ideas from craft influencers on Instagram or TikTok.

This could also stretch to a homemade Christmas tree or other handmade decorations, said Country Living, which can be “just as meaningful, especially when creating them turns into a festive family project”.

Driving home for Christmas?

Transport can be pricey at Christmas if you are travelling around to see family and friends, and the “costs can quickly add up”, said BBC News.

Consider “alternatives to your usual choice” such as going by coach instead of by train, or looking for advance or split rail tickets.