How to save money this Christmas

Did you know the average UK family spends over £800 on Christmas last year?
We all want Christmas to be perfect but remember it’s ‘one day’ and you don’t need to ruin the whole of next year paying for it!
We’ve put together these 8 tips to help you save money whilst still enjoying a fantastic Christmas.

1. Set a budget

 Prepare a budget so you have a better idea of how much you can realistically afford to spend on Christmas, and stick to it. Try MSE’s helpful free Budget Planner and ask yourself “What can I afford to spend?”

2. Boost your Christmas Fund

Declutter, sell unwanted items and raise money to boost your Christmas fund.
It may seem daunting, but it’s actually really easy to sell unwanted items on online sites like Gumtree, Shpock and eBay, and local selling groups on Facebook Marketplace can be great too. Selling items like toys, clothing, books & gadgets for a few pounds soon adds up. Check out the Flog It guide from MSE ( for more information.

Making small sacrifices can also boost your Christmas fund. Check out The DemoHOHOtivator, MSE’s fun tool to show just how much cash you could have by Christmas if you stopped spending on non-essentials, such as coffee, snacks and cigarettes. 

Top Tip - Make sure you transfer any sale proceeds or savings to your Christmas fund and not just fritter it away on household expenses.

3. No-spend or low spend pacts

Suggest making ‘no-present’ agreements with family and friends or perhaps only buying presents for the kids.
How about introducing a ‘present budget’? It’s surprising what you can buy for £5 in discount and clearance stores! You can get some great bargain books in discount book stores, for example.
Alternatively, organise a ‘secret santa’ for your extended family, with everyone purchasing just one gift!

4. Make a list and stick to it!

Don’t make impulse purchases or be tempted by ‘amazing offers’! ‘Little extras’ mount up and will quickly blow your budget!

Top tip - make a list of everything you’ve bought (and where you’re hiding it!) so you don’t end up buying the same item twice!

5. Shop & share

Look out for 3 for 2 or buy 1 get 1 free offers in supermarkets and shops and suggest sharing the cost with a friend. Similarly, look out for bulk or XL packs which are cheaper, and again share with family or friends.

6. Consider vintage or second hand

Why not check out local Charity jobs? You may be surprised what you can pick up, and you’ll be helping a good cause, the environment, and saving money too. Check out this these top tips for buying second hand Christmas gifts from money saving guru, A Thrifty Mrs.

7. Beware of premium ranges

Sales of premium ranges soar at Christmas, with supermarkets offering ‘extra special’ ham, ‘the finest’ cheese and ‘the very best’ biscuits. If you enjoy your usual brand year round, don’t be pressured to upscale just because its Christmas! According to MSE, their Downshift Challenge could save you 30% a year, without noticing the difference.

8. Start a Christmas Savers fund

Open a Retail CU Christmas Savers Account and start saving for next year now!
If you saved £15 each week, straight from your pay, you’d have £780 by next Christmas. Try our new Saving Calculator to see how much you could save.

Need help with the cost of Christmas?

If you need help with your festive costs, our Personal Loan could help! With bite sized repayments straight from your pay, a loan from us is a great way to help you spread the cost of Christmas whilst treating your family. Apply online in minutes today.