This year, Britons will be spending £2.29billion of their savings on Christmas, according to research from Santander.
As many as one in five Brits will withdraw funds from their savings accounts to fund the festive season, taking out an average £212 each, Santander's quarterly Savings Snap Shot shows.
The research suggests that the majority of Brits have reduced their Christmas spending this year, cutting back on parties, presents, and other festive costs.
A million people are intending to return some of the gifts they receive in exchange for cash to help boost their funds throughout the festive season.
To illustrate the financial burden of Christmas, Santander calculated that with the average Brit depositing £100 a month, dipping into their savings accounts at Christmas will deplete their savings pot by around 16 per cent of the total saved this year.
Once Christmas is out of the way, a quarter of people intend to increase they amount they save, but in the meantime, 42 per cent say they are saving nothing, and 31 per cent have no savings at all.
Commenting on the figuers, Reza Attar-Zadeh, director of Santander savings and investments said: "While many people have decided to rein in their spending this year, Christmas still looks set to make a significant dent in the nation’s savings.
"With this in mind, we're encouraging savers to keep an eye on their expenditure over this period so that when it comes to saving in the New Year, they’re starting from a good base."
© Fair Investment Company Ltd