Food & Drink
Christmas tree and market stalls

Rising prices affecting spending habits at Christmas markets

High prices at Christmas markets are putting customers off spending money this year.

Stall operators at the Trafalgar Square Christmas Market believe the cost of living crisis is driving price increases and decreasing customers’ willingness to make purchases.

This comes amid ongoing concerns about the future of the UK economy.

London-based artist Zozan Kotan, 39, founder and designer behind Studio Kulilk, which creates hand-printed ceramic tiles, is one of many creators selling her artworks at the market in Trafalgar Square.

Lady stands in front of her artworks for sale.
CHOOSING HUES OVER BLUES: Business is stable for artist Zozan Kotan despite tough economic times. Credit: Madeleine Clarke.

She described tough conditions for small businesses like hers.

She said: “It’s because of the economic crises everywhere. Especially in London, I see the prices are getting very high.”

Kotan highlighted the challenges of rising business costs and taxes felt by small businesses like Studio Kulilk.

She said: “As a small business, you couldn’t play with your price range that much, but you’re affected, unfortunately, by all these things.

“It’s not a problem for big companies, of course. And I also pay tax, that’s another problem.”

This is Kotan’s third year operating a stall at the market.

Despite the economic conditions, she said: “I feel okay actually, I can’t say that there is a huge difference between last year and this year.”

Salesman Iyad Tamimi, 41, runs a stall for Pama Crafts, a company which sells handmade and hand-painted ceramics made in the Palestinian area of Jerusalem.

This is his third year running a stall at this market.

He said: “The business is not as it used to be, it has declined.”

His sales are down by about 40%, which makes him ‘very worried’ about the future.

Tamimi blamed the decline on several factors, including Brexit, the cost of living and inflation.

Ceramic crockery for sale at a Christmas market in Trafalgar Square.
A LOT ON THE PLATE: The state of the economy is negatively affecting Pama Crafts. Credit: Madeleine Clarke.

Customers were also feeling the pinch.

Maxie Schuricht, 21, and Bruno Albert, 22, students from Dresden, Germany visiting London on holiday expressed surprise at prices in the market.

Schuricht said: “We were a little shocked at the grilled sausage because in Germany they are not that expensive.”

Albert added: “Bratwurst, the sausage, in Germany it costs like €5 and here it’s like £11.”

Food stalls’ price lists state £11 for a Bratwurst, £11 for a Krakauer, £10 for a Frankfurter and £12 for a beef sausage.

Schuricht also found souvenirs made by artisans to be pricey.

Speaking about the cost of Christmas ornaments, Schuricht, said: “It’s not plastic, it’s handmade. I think it’s understandable that it’s more expensive.”

A couple hold disposable coffee cups in a Christmas market in front of the National Gallery in London.
MIND THE GAP: German tourists found prices in London higher than back home. Credit: Madeleine Clarke.

Police officer Daniel Meaton, 43, from Bexley in South East London was also surprised by food and drink prices at the market.

He said: “There’s a hot chocolate stall down the end that was nearly £7 for a hot chocolate. You expect to pay a little bit more at Christmas, I get that, but that does seem really expensive to me.”

Comparing the market to last year, Meaton added that the prices definitely ‘seem to be a little bit more expensive.’

Meaton was deterred from buying a woollen jumper as a gift for a child family member by the price tag.

He said: “It was about £25-30 for something quite small. That’s quite expensive.

“Maybe if it was a little cheaper, we probably would have bought it but I think we were put off by the price.”

His partner, Sally Copeland, 44, who also works for the police said: “The price has definitely gone up, as everything has really.”

This year, Meaton and Copeland did most of their Christmas shopping online.

Trafalgar Square Christmas Market runs until 2 January 2026.

Featured image: Photo by Elena Mozhvilo on Unsplash

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