UK Holiday Spend Set to Rise to £181 in Golden Quarter Despite Cost-of-Living Pressures
Survey by Shopify shows UK shoppers plan higher seasonal spend, but many will set budgets and seek deals
Consumers in the United Kingdom are preparing to spend an average of £181 each on seasonal goods during the upcoming Golden Quarter, a significant increase from £159 last year, according to a new report by e-commerce platform Shopify.
This uptick comes despite persistent cost-of-living pressures and Budget concerns, signalling a cautious yet positive shift in retail sentiment.
Retailers appear buoyed: eight in ten UK businesses expect higher holiday-season sales compared with last year, above the global average of 72 percent.
Nonetheless, the report also highlights that spending will be disciplined.
Nearly two-thirds (63 percent) of UK shoppers have set a spending cap and 39 percent say they will adhere closely to it, underscoring the dual nature of optimism and caution.
Artificial intelligence (AI) is increasingly part of the shopping journey, with two-thirds (66 percent) of UK consumers likely to use AI for inspiration or discovery this season.
Yet human interaction retains its value: 74 percent say they still prefer purchasing from a person rather than exclusively automated systems.
Retailers are expected to rely heavily on promotions, with 39 percent of UK merchants anticipating that deals will account for a large share of holiday sales and 68 percent planning new types of promotions.
The channel mix is evolving.
Forty-one percent of UK consumers plan to split shopping evenly between online and physical stores.
Meanwhile, 80 percent said they are more likely than last year to discover products across multiple channels, and both physical and online discovery have increased by 19 percent year-on-year.
These trends indicate growing fluidity between digital and in-store experiences.
Despite the forecast rise in spending, businesses are cautioned not to interpret higher numbers as unlimited consumer appetite.
Shopify emphasises that success this season will favour brands that deliver value, streamline the shopping experience and combine AI-enabled discovery with human service.
As UK retailers prepare for the festive peak, the message is clear: higher confidence amid lingering constraints.
This uptick comes despite persistent cost-of-living pressures and Budget concerns, signalling a cautious yet positive shift in retail sentiment.
Retailers appear buoyed: eight in ten UK businesses expect higher holiday-season sales compared with last year, above the global average of 72 percent.
Nonetheless, the report also highlights that spending will be disciplined.
Nearly two-thirds (63 percent) of UK shoppers have set a spending cap and 39 percent say they will adhere closely to it, underscoring the dual nature of optimism and caution.
Artificial intelligence (AI) is increasingly part of the shopping journey, with two-thirds (66 percent) of UK consumers likely to use AI for inspiration or discovery this season.
Yet human interaction retains its value: 74 percent say they still prefer purchasing from a person rather than exclusively automated systems.
Retailers are expected to rely heavily on promotions, with 39 percent of UK merchants anticipating that deals will account for a large share of holiday sales and 68 percent planning new types of promotions.
The channel mix is evolving.
Forty-one percent of UK consumers plan to split shopping evenly between online and physical stores.
Meanwhile, 80 percent said they are more likely than last year to discover products across multiple channels, and both physical and online discovery have increased by 19 percent year-on-year.
These trends indicate growing fluidity between digital and in-store experiences.
Despite the forecast rise in spending, businesses are cautioned not to interpret higher numbers as unlimited consumer appetite.
Shopify emphasises that success this season will favour brands that deliver value, streamline the shopping experience and combine AI-enabled discovery with human service.
As UK retailers prepare for the festive peak, the message is clear: higher confidence amid lingering constraints.
