This Christmas will see better budgeting offset bigger spending from the British consumer, according to credit reference agency Callcredit.
Its survey suggests one in ten people expect to spend more than £1,000 on presents this year – twice as many as in 2005.
Only four in ten people, meanwhile, expect to spend less than £500.
Women are particularly susceptible to splashing out on Christmas gifts, with 42 per cent of women expecting to spend in excess of £500, against 37 per cent of men.
But Callcredit underlines positive signs that people plan to fund their spending from savings or regular income, with only one in ten people planning to spend on credit, compared to three in ten in 2005.
Callcredit director Mel Mitchley concluded: "People are spending more but budgeting better."
"Instead of using credit to get them through the festive season they're using the hard-earned cash they have in their pocket," she added.
Areas for concern remained, however, with four per cent of people having 'no idea how they'll fund Christmas', twice as many as in 2005.
And among over-65s, the figure rises to almost a quarter, suggesting severe cashflow problems among Britain's pensioners.For more information about 0% credit cards, click here.
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