Cheap Gifts for Christmas That Don't Look Cheap

The best way to keep costs low during this expensive season is to give personal, homemade gifts and spread the cost of bigger presents and Christmas dinners. Homemade fudge, a framed photo, a plant grown from a cutting or good socks all cost under £15. Below are budget gifts and tricks our organisers use to get through December without a January overdraft.

How much does Christmas actually cost?

According to Finder, UK adults planned to spend an average of £514 each on presents in 2025, and £802 once food, travel and nights out were added. PwC's festive survey found food, drink and Christmas dinner were where costs were climbing fastest.

How to do Christmas on a budget

Christmas is one of the most magical and love-filled times of the year, but it can also be one of the most expensive. The last thing you want is the stress of worrying about money to take away from the joy of the season. So, start planning early! Get organised with family and friends and find ways to spread the cost. That way, you can focus on what really matters: enjoying Christmas together.

Set your budget before you shop

Decide on how much you want to spend on gifts this year. List everyone you're buying for and what type of presents you want to give them. Don’t forget to include cards, wrapping paper and postage in the calculation.

Once you have an idea of how many people you’re buying for, you can start deciding how much to spend on each person.

Agree a spending limit with your group

Most overspending comes from not wanting to turn up with the smallest present. Suggest a £10 or £15 limit for friends, siblings or colleagues, or switch to a Secret Santa so everyone buys one decent gift. Our guide on how to organise a Secret Santa covers the draw, the budget and collecting the money.

Start early

In PwC's survey, 46% of shoppers expected to finish their Christmas shopping before December. Starting in November gives you time to make things and catch the offers.

Cheap gifts under £15

Each of these shows you've thought about the person, which matters more than the price tag.

Homemade and edible gifts

Homemade Christmas biscuits or fudge. Spend one afternoon baking and you can sort many gifts at once. Put it in a jar with a ribbon and a handwritten label.

Hot chocolate jars. Layer cocoa, sugar, mini marshmallows and chocolate chips in a jar and tie on a tag with instructions. Easy to make in bulk for teachers, neighbours or the office.

Infused oil or flavoured salt. Chilli oil or rosemary salt in a small glass bottle, for the friend who loves to cook.

Christmas chutney. One batch of spiced apple or cranberry chutney covers half a dozen people and can be eaten on the day with the cheeseboard.

Homemade pickles. Some people are weirdly obsessed with pickles (me) but a lot don’t realise just how easy it is to make them. It’s basically just cucumbers in vinegar. And you can do it with so many different vegetables.

Personal and sentimental gifts

A decorated framed photo. Print a favourite photo of the two of you and put it in a charity shop frame you've painted and bedazzled.

A playlist and a note. Make a playlist of songs that remind you of them and write the story behind each one on a card.

Second-hand books. Books in charity shops cost around £2. You can buy 5 you think they'd love and write why inside the cover.

Small practical gifts

Good socks. A classic Christmas present: warm walking socks or a silly festive pair. People don’t usually buy them for themselves and you know they’ll definitely get worn.

A houseplant. You can grow a spider plant from a cutting, in a pot you've decorated. Just make sure you don’t give it to a busy parent who doesn’t need another organism to look after.

Affordable Christmas gifts for kids

A craft box. Fill a shoebox with pipe cleaners, pom-poms, googly eyes and card for rainy afternoons.

A card game. Cheap, and it gets the whole family playing on Boxing Day.

A Christmas Eve box. Pyjamas, a festive film, hot chocolate and a book for the night before.

Want to give a bigger present? Pool together

Sometimes the present you've set your heart on won't fit a £15 budget: headphones for your brother, a spa day for your mum, a pram for a friend who's expecting. To get them something special, ask a few people to chip in. Ten people at £10 each is £100, and the big present is affordable for everyone.

How to collect money for a group gift

1. Download the Collctiv app and create a pot, for example "Mum's Christmas present".
2. Add a target amount and a deadline if you want one.
3. Share the pot link in your group chat.
4. Everyone pays with Apple Pay, Google Pay or a card. They don't need the app or an account.
5. Check the pot to see who's paid, then withdraw the money and buy the gift.

Tips from organisers who've done it

We talk to Collctiv organisers regularly, and two tips keep coming up. The first is to ask for a range rather than a fixed amount. One organiser collecting for a friend's baby shower asked for anything between £5 and £15, so nobody felt pressured and nobody knew who'd paid what.

The second is to set your deadline after payday. Another organiser gave people about ten days after payday to pay, and spent far less time chasing.

Split the cost of Christmas dinner

Preparing Christmas dinner is stressful enough, you shouldn’t have to worry about paying for all of it yourself.  This year, work out a rough cost per head instead of asking everyone to bring a bottle. Add up the turkey, veg, drinks and crackers, divide by the number of guests, then create a pot and share the link. Everyone pays before the big shop. It works for Friendsmas or a team Christmas lunch too.

Start Your Christmas Collection Today!

Make Christmas less stressful this year by spreading the costs. Start a free Collctiv collection and let your guests chip in.