Cost of Christmas dinner rises by 2.8%

• The cost of a vegetarian/vegan nut roast option has also increased by 1.72% compared to 2023
• ii’s senior personal finance analyst shares five top tips to save on the cost of Christmas dinner.

The cost of a Christmas dinner for a family of four is set to rise faster than the rate of inflation this year, with price drops in festive sweet treats being offset by increases in the cost of turkey and cheese, according to the latest interactive investor Christmas Dinner Inflation Tracker.

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The average price of a turkey meal with all the trimmings plus a few extras, that feeds a family of four, has risen by 2.8% from £89.05 in 2023 to £91.54 this festive season.

The cost of a vegetarian/vegan nut roast option has also increased by 1.72%, rising from £51.75 in 2023 to £52.13.

The 2024 Christmas dinner inflation figures are down from increases of 11% for both the turkey and vegetarian meals in 2023.

These inflation figures are close to the broader food and non-alcoholic drink inflation rate tracked by the Office for National Statistics, which rose to 1.9% in October, up from 1.3% in September. The headline CPI inflation rate rose to 2.3% in October, up from 1.7% in September.  

However, the inflation figures are partly offset by a rise in wages, which rose by up 4.9% in the three months to August (latest figures available). 

Since ii began tracking the cost of Christmas dinner in 2021, when inflation started to rise significantly, the cost of a turkey dinner has increased by 32%, and the vegetarian/vegan nut roast option has gone up by 33%.

Our Christmas dinner inflation shopping basket comprises of 16 typical Christmas dinner ingredients based on the Christmas shopping habits of the ii team. It includes a few guilty pleasures and Christmas luxury items to feed a family of four. 

While we’ve gone for some ‘Tesco finest’ and other Christmas treats like goose fat, we’ve also mixed it up with some basics. We believe it is not unusual for shoppers to mix and match from different ranges, depending on their tastes/priorities and budgets.

Myron Jobson, Senior Personal Finance Analyst, interactive investor, says: “With inflation down from the painful highs of yesteryear, the spiralling cost of Christmas dinner is finally getting carved down to size.

“For many Britons, the rise in wages will more than offset the increase in the cost of Christmas dinner, with wages rising by an average of 4.9% in the three months to August. However, there’s no such thing as an ‘average’ person. Some may have benefited from a larger pay rise, while others have not been so fortunate. 

“While we are seeing some relief from higher costs due to cooling food inflation, this doesn’t mean prices are falling. A slowing or falling inflation rate means prices are still rising, but at a slower pace than before.

"The rising cost of Christmas dinner could strain the budgets of those who haven’t received a pay increase, making it harder to enjoy festive traditions without financial stress.”

What’s gone up most in price?

Comparing the prices of items in our inflation shopping basket from the festive period in 2023, Interactive Investor’s analysis found that the price of our sample free-range turkey rose by 5%, or £2, while the cost of our nut roast option for vegetarians and vegans increased by 4% (50p) for two nut roasts (enough to feed a family).

The price of cheese has also risen, with our choice of gruyere and brie up 14% and 11%, respectively, while one of our guilty pleasure picks, After Eight mints, has increased by 17%.

However, not every component of the Christmas dinner is more expensive. In fact, the price of 10 of the 16 Christmas dinner items we track has remained unchanged from last year or is cheaper. Notably, the cost of mince pies is down by 20%, or 50p, to £2, while Christmas pudding is 11%, or 50p, cheaper.

When it comes to vegetables, the prices of parsnips and carrots have each gone up by 15p, while the cost of Maris Piper potatoes is 6p cheaper, and Brussels sprouts remain unchanged.

Myron Jobson says: “The cost of Christmas dinner can vary widely based on individual preferences and traditions, making it crucial to understand the nuances of your spending habits and budget, especially during the festive season.

“Many people won’t want to scrimp on the big festive meal, but it is important to live within your means to avoid a post-Christmas debt hangover.”

Myron’s tips to save on the cost of Christmas dinner

1) Plan your menu

“Make a shopping list to avoid impulse purchases and set a budget. Plan portion sizes to helps save on costs and minimise leftovers - or plan for using them in future meals. It is worth checking your pantry and fridge for any ingredients you already have to avoid doubling up on stuff you already own.”

2) Save on cost of vegetables with deep discounts closer to Christmas Day

“In recent years, supermarkets have engaged in a price war over Christmas vegetables in the days leading up to Christmas. They have applied heavy discounts on vegetables like potatoes, parsnips, and carrots. 

“These discounts are “loss leaders” designed to attract customers to the store, with the hope that they’ll purchase other high-margin items. They also help clear out perishable stock before it spoils.”

3) Make use of loyalty schemes

“Shoppers can take advantage of loyalty schemes to save on the cost of Christmas dinner by accumulating points on everyday purchases, which can then be redeemed for discounts. Many supermarkets offer exclusive deals and seasonal promotions to loyalty scheme members, providing additional savings.”

4) Consider value ranges

“Major supermarkets typically offer both ‘value’ and ‘premium’ ranges. Choosing value ranges can save a significant amount on your final bill.”

5) Consider alternative ingredients

“Explore using other proteins and ingredients not traditional present in a Christmas meal as they can be cost-effective. There’s often a premium on quintessential Christmas proteins, like turkey, but other products, like chicken, can work out much cheaper per portion.”