According to GfK NOP's annual Christmas Spending Study even more consumers are planning to cut back on Christmas spending this year, with 1 in 5 of those surveyed planning to spend less on presents this year than last.

The survey of 1,000 UK adults revealed that retailers could be in for another tough festive season, with only 1 in 10 people planning to spend more this year than last. The survey suggested that consumers would be spending approximately 15% less on gifts and around 5% less overall during the Christmas period.

However, online sales are expected to continue to buck the trend, with sales expected to rise again this year. Figures from Christmas 2008 showed that there was an increase of £500 million worth of online sales compared to the previous year.

Which? retail expert Sarah Dennis said, "online shopping is a tempting way to avoid the Christmas rush so it's not surprising that consumers aren't thinking with their feet - the wealth of choice and the bargains you can get are a real draw".

Large retailers are taking advantage of this burgeoning market with big high street names now offering a variety of offers to attract the savvy online shopper.

Notably Marks and Spencer's are offering delivery for 1p for a limited period over the Christmas period and Woolworths and BHS are offering free delivery to customers who spend over £30 and £50 respectively during the Christmas period. Both retailers are also offering 50% off selected gifts when you shop online.

Reports earlier this year from online retailer eBay.co.uk also showed that many consumers were planning ahead this year in order to spread the cost of Christmas, with tinsel sales up to 240% and Christmas card sales up 191% in August. eBay spokesperson Julia Hutton-Potts said "eBay is a great barometer of shopping trends and has shown us that this year we're planning ahead for Christmas and snapping up some fantastic […]bargains". 

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