Connect with us

Hi, what are you looking for?

Life

Cost of the Holidays: Is it easier for Londoners?

In the run-up to festivals such as Christmas and Hanukkah, habits change. Households spend on average 29% more than in a typical month.

Burberry is in the midst of a turnaround plan aimed at boosting sales and cutting costs as the global luxury sector struggles with weak consumer demand and the impact of US tariffs
Burberry is in the midst of a turnaround plan aimed at boosting sales and cutting costs as the global luxury sector struggles with weak consumer demand and the impact of US tariffs - Copyright AFP Tobias SCHWARZ
Burberry is in the midst of a turnaround plan aimed at boosting sales and cutting costs as the global luxury sector struggles with weak consumer demand and the impact of US tariffs - Copyright AFP Tobias SCHWARZ

Christmas-time / Hanukkah appears to be unaffordable in 191 local authorities across the UK, according to new analysis by the company Investing.co.uk. Residents, on average, living in areas including Liverpool, Swansea, and Derry cannot save enough money to cover the average cost of Christmas.

In the UK, the average Christmas spending is projected, as per the Bank of England’s forecast, to be around £1,626 per household in 2025, which includes gifts, food, and other festive activities.

Spending on video and music equipment and books grows the most – book, newspaper and periodicals sales more than double. Drink and specialist food sales also increase, going up by about 38% and 22%, respectively.  

However, even in the places which ranked ‘affordable’ it’s not all mince pies and candy canes. For example, in Belfast, people need to begin saving for Christmas on April 2nd to have any chance of affording it. While people in Preston can only afford to have Christmas once every three years because for Christmas to be affordable, families would need to save up for 28 months.

In contrast, it is easier for those living in the wealthier parts of London.

Top 10 most affordable areas for Christmas

Rank RegionAreasAverage GDHI Per HeadMonthly Living CostsChristmas CostWeeks to Save
1.LondonCity of London£138,081 £5,930.52 £1,986 0 weeks 3 days
2.LondonKensington and Chelsea£96,578 £7,293.15 £1,986 0 weeks 6 days
3.LondonWestminster£69,058 £6,249.22 £1,986 1 week 4 days
4.LondonCamden£58,440 £5,913.78 £1,986 2 weeks 1 day
5.LondonWandsworth£43,701 £5,288.56 £1,986 4 weeks 2 days
6.North WestRibble Valley£27,425 £3,241.66 £1,616 5 weeks 1 day
7.LondonRichmond upon Thames£45,752 £5,710.59 £1,986 4 weeks 3 days
8.LondonHammersmith and Fulham£44,541 £5,555.44 £1,986 4 weeks 4 days
9.ScotlandCity of Edinburgh£26,565 £3,203.98 £1,576 5 weeks 4 days
10.ScotlandEast Dunbartonshire£25,270 £3,040.65 £1,576 5 weeks 5 days

The data also reveals some interesting findings related to how much money households can save monthly, with places like Oxford seeing one of the largest deficits at £4,059.

The City of London seems to be the place to be if you love Christmas (although ironically, few people actually live in the square mile). When the study analysed monthly living costs, which worked out to be £5,931, against the average monthly household income of £23,014, households in the city had the potential to save up to £17,083 a month. In London, every day can’t be Christmas, but with the special day costing an average of £1,986, the data shows that households could afford to have Christmas every 3 days.

Overall, London boroughs claimed seven of the top 10 positions in the affordability index.

Outside of London, Ribble Valley in Lancashire ranked sixth. The data shows it would take a little over 5 weeks of saving to be able to afford Christmas.

Edinburgh and Dunbartonshire ranked ninth and tenth, with both areas taking around 6 weeks to be able to afford Christmas on average.

What about the UK capitals?

In England, as mentioned, people in the City of London would take approximately three days of saving to be able to afford Christmas. Those in Edinburgh, Scotland, would need to save for5 weeks 4 days (1.29 months). People living in Belfast, Northern Ireland, would need to save for 38 weeks 1 day, and those in Cardiff, Wales, would need more than two years (26.97 months).

This study shows just how much debt is needed nationwide.

Avatar photo
Written By

Dr. Tim Sandle is Digital Journal's Editor-at-Large for science news. Tim specializes in science, technology, environmental, business, and health journalism. He is additionally a practising microbiologist; and an author. He is also interested in history, politics and current affairs.

You may also like:

Business

As AI systems learn from company data, CIOs are confronting a harder question about ownership, control, and digital sovereignty

Business

AI is being linked to a spate of job losses across the world.

Business

Adobe Express has explored how freelancers design business assets, the challenges they face, and what consumers notice and value most in strong branding.

Tech & Science

From school shootings to synagogue bombings, leading AI chatbots helped researchers plot violent attacks.