Experts reveal the exact amount of money you should be gifting for Christmas

UK families are set to face a pricier Christmas this year, with festive shopping baskets up to 8% more expensive than in 2024, leaving many households turning to cash gifts as the most practical option.

Now, new research from the financial experts at money transfer service Remitly has analysed hundreds of online forums to uncover how people really feel about receiving money at Christmas (and the surprising “ideal amount” most people think is appropriate). 

Is cash the most practical Christmas gift now?

A large share of people say they actually prefer receiving money, with almost two-thirds (64%) of comments saying they would be happy to receive cash and many comments saying they find it more helpful than a surprise gift.

Many users say they would rather put an extra £50 toward bills or essentials than receive a gift they didn’t need. 

But for adults, cash gifts carry a sense of social risk.

For grown-ups, people worry about awkward mismatches with many users asking “what if I give them £50 and they give me £100…”. 

Some people also felt that cash feels impersonal unless it’s paired with something small or thoughtful.

However, across most conversations, money was seen as completely acceptable, even ideal, for children and teens.

When it comes to cash vs gift cards, people are divided. Many argue that cash is better as it is more versatile, while others see gift cards as a more “thoughtful” compromise.

So how much should you gift?

Across Reddit and parenting forums, Remitly found:

• £50 is the most commonly cited “perfect” amount for adults, considered meaningful but not excessive, with over a quarter (28%) of comments suggesting this amount.
• £25 is considered reasonable for those on tighter budgets, according to around one in ten comments (9%)
• £50–£100 is the sweet spot for most family gifting.
• High-end gifts (£150+) appear occasionally, but are the exception, not the norm.

Joe Halpin, UK CEO at Remitly, shares his thoughts on the most important things to consider when gifting cash:

“Our analysis of frank online conversations reveals that Brits are perfectly happy to give and receive cash this Christmas. Plus, most were not judgemental about receiving lower amounts of cash as a gift. It seems the pressure to ‘get it right’ and find the correct socially acceptable amount to give might be being worried about too much. The sentiment from the public is to only give what you can genuinely afford. People are increasingly socially conscious of tougher times in 2025. We hope this insight reduces the pressure for anyone concerned about what and how much to gift this Christmas.”