UK is 'in the mood to spend'

With Christmas just over a fortnight away, it seems the UK is well into the swing of the festive spending spirit.

According to Legal & General's latest Moneymood survey, the desire to splash out in November was at its highest for the whole year.

The bank asked consumers whether, based on their current circumstances, they were more inclined to save or spend. Just over half (52 per cent) claimed they wished to put money aside, but 37 per cent were looking to buy - an increase of three per cent on last year.

Julia Clayworth of Legal and General said the survey shows that despite suggestions that the effects of the credit crunch are starting to pinch, consumers are still spending with confidence.

"As these results relate to November, I'm pleased to see that people are quite sensibly looking to spread the cost of Christmas over a few months rather than leave it all to the last minute," she added, echoing the Consumer Credit Counselling Service's call for people to begin saving for Christmas earlier.

Another finding of the poll was that 53 per cent of people expect to spend more on going out in the run-up to Christmas. In the preceding three years, the majority of people did not aim to spend any more than usual.