Christmas present money is set to reach over half a billion pounds this December.
Cash received as Christmas presents will average £61 each.
Money received by Britons as gifts from family and friends during Christmas is expected to total almost £600 million this year, according to first direct.
The survey found that 19% of people think they will receive money as a gift during the upcoming holiday season with the average amount expected to reach figures of over £60.
More than 60% of people are predicted to receive their gift in cash and one in five will probably receive a cheque. Just under 20% will get a gift card voucher and 7% will have the the capital placed directly into their bank account.
However, many people will choose to use their money wisely instead of splurging it on useless items. A quarter of participants said they will put the extra cash into savings or investments and 10% said they will use it to pay off debt.
Richard Brown, Senior Savings Product Manager at first direct said: “December can be an expensive time of a year and this influx of cash around the festive season will be welcome for many. However, rather than spending it all at once, it seems the money is likely to be used for more sensible options such as being put away into savings, to supplement spending and to pay off debts”.
He added: “You don’t need a huge amount to save or invest so lucky Christmas money recipients should try to find a healthy balance between rewarding themselves for the past year and setting some of their cash aside for the future. One way to ensure your Christmas money will work harder for you in the long term is to use it to open a new savings account with some of it, helping you to kick start the New Year with a healthy savings routine.”
However, 43% of people will spend their Christmas cash on a holiday or jewellery followed shortly by everyday items like groceries, which is favoured by 36% of Britons.
The survey also found that young people between the ages of 16-24 and women are most likely to receive money as a gift as well as people living in the North West region of the UK.
