This week sees millions of workers gift each other Secret Santa gifts but a study by Love2shop has found the true cost of this annual tradition is much more costly than imagined.
It’s considered a harmless workplace festive tradition but research has revealed 2.5 million unwanted Secret Santa gifts go straight in the bin – equating to a staggering £32,400,000-worth of items.
It’s also adding to the woes of employees who now often see it as an extra festive expense they could do without as the cost the living rises, with an increasing number now opting out.
Last year half of UK employees took part in a Secret Santa, but this year that has dropped to 44%, according to the nationwide survey.
The cost of Secret Santa gifts remains at an average of £14 per item, according to the research. Older colleagues spend a more modest amount, with the survey finding 55–64-year-olds intending to spend on average just £10.
The only age-group embracing the tradition with enthusiasm is 18–24-year-olds who are splashing the cash, increasing their average gift value from £23 up to £35.
But for many Brits this year it’s an additional expense many could do without with many asserting that more important festive spending like the Christmas food shop and family gifts, is taking a priority this year as they sack off Secret Santa.
“Secret Santa is just another tradition that is losing relevance in the modern workplace. Not only is it another expense at this time of year, but our study has shown it has a wider impact too,” said Frank Creighton, Director of Business Development for Love2shop. “Millions of unwanted gifts are thrown away and have a negative environmental impact too.”
He adds: “There’s real value both financially and in being kind to the planet in simply giving a gift card or voucher, and our research finds this is increasingly popular and flexible. Far from being unimaginative; the Secret Santa recipient can spend it on something they actually want and will enjoy – this can include festive essentials like food shopping too.”
The Love2shop survey also looked at office Christmas parties and found more workers than ever (63%) don’t want a festive celebration this year – a 7% increase on 2023.
Almost 9 in 10 (87%) of workers would choose a Christmas bonus or gift card over a staff party in 2024 – up 4 per cent from 83% last year.
HMRC actually allows businesses to give each employee a non-cash gift up to the value of £50 with no paperwork, no National Insurance contribution and no tax. It’s called the Trivial Benefits provision, and Love2shop has launched a handy calculator to show you how much your business could save in tax by giving gift cards at Christmas instead of cash or other taxable bonuses.
Visit business.love2shop.co.uk to see the full range.
