Consumers are split over whether the impending VAT rise will change their spending habits, with more than half (52%) saying it won't, says a new survey from research company Retail Eyes.
The survey of 2,863 UK consumers showed six out of 10 shoppers claim the rise won't affect how much they spend this Christmas, while 38% are planning on making additional purchases before the VAT increases. Of that 38%, most people plan to buy electrical goods such as TVs and radios (66%), while 24% will purchase white goods.

More than eight out of 10 shoppers will be more tempted by retailers that put a freeze on any VAT rise.

Retail Eyes marketing manager Simon Boydell said: "It appears from our survey results that consumers haven't made a conscious decision yet as to whether the VAT rise will change their spending. With recent news from the British Retail Consortium claiming consumer confidence has fallen for the first time in a year this should come as some relief to retailers. But there is still a lot of uncertainty among shoppers so retailers do need to consider ways to entice consumer spending both before and after the rise on 4th January.

"Our results show there's real opportunity for retailers to increase footfall and spend before the VAT hike with a high proportion of consumers planning to make a lot of additional big ticket purchases this year."