Small businesses across the UK are set for a vital boost this weekend as Small Business Saturday returns, encouraging the public to show their support for local firms as they prepare for another challenging winter season.
Amid ongoing reports of falling confidence in small businesses, research from the campaign reveals that the festive period could provide a crucial lifeline. An estimated £20 billion is expected to be spent by UK households during the ‘Golden Quarter’ — the peak shopping season from October through to post-Christmas sales.
With around 22% of Christmas spending expected to be directed towards independent businesses, the small business sector could see a boost of approximately £4.4 billion. This comes at a time when small firms are facing mounting challenges, and public support is more important than ever.
Public Support for Small Businesses Remains Strong
Encouragingly, the public’s recognition of the value small businesses bring to their local communities is higher than ever. Two-thirds (66%) of people say they shop with independent firms multiple times a month, highlighting the strong connection between small businesses and local shoppers.
A survey, conducted in partnership with Small Business Saturday’s principal supporter American Express, found that 86% of people believe supporting small businesses is important. Furthermore, 62% of respondents agree that small businesses help to enhance the vibrancy of their local area.
The survey also highlighted some of the key benefits people associate with shopping small, including convenience, personalised customer service, and the positive impact small businesses have on local charities and vulnerable people.
Celebrating the Heart of the Community
Taking place on 7 December, Small Business Saturday is an annual campaign dedicated to celebrating and supporting the UK’s 5.5 million small businesses. It encourages people to “shop local” and to support small firms in their communities not just on the day itself, but all year round.
Michelle Ovens CBE, Director of Small Business Saturday UK, emphasised the importance of public support in these challenging times. “Small businesses deliver immeasurable value that goes beyond their economic contribution — they are the heart and soul of our communities, bringing joy and vibrancy to our lives and local areas, as well as delivering essential local services,” she said.
“Public support is absolutely vital for boosting small businesses across the UK, especially now. Many are still facing significant economic pressures, and need greater support and confidence to recover and thrive,” she added.
The Festive Boost: How the UK is Spending
According to Small Business Saturday’s research, UK households are expected to spend an average of £757 on seasonal celebrations this year, with more than a quarter (26%) anticipating higher spending than last year. Women are predominantly in charge of managing the festive budget, with 60% of household budgets being controlled by women.
Small businesses are already gearing up for the festive rush, with many offering special seasonal products and experiences to attract customers. Simon Henry, co-founder of York Gin — an independent craft distillery located in the historic Shambles of York — shared how the festive period is a critical time for their business.
“The festive season is a peak time for our business, and we are doing all we can to attract customers by offering something truly unique,” said Mr Henry. “We’ve introduced a new signature mulled gin, which is proving very popular, and we’re also hosting Christmas tastings at our distillery. Small businesses can create a lot of magic for people, and the support we get back from the public makes all the difference.”
A Decade of Support
Small Business Saturday was first launched in the United States in 2010 by American Express, which remains the campaign’s principal supporter in the UK. Over the last decade, the campaign has engaged millions of people across the UK, with billions of pounds being spent in support of small businesses on Small Business Saturday.
The event brings attention to all types of small businesses, both online and in physical stores — from independent shops and restaurants to service-based businesses like accountants and plumbers. Many small businesses mark the day with special events, promotions, and collaborations with other local firms.
How You Can Get Involved
Dan Edelman, General Manager of UK Merchant Services at American Express, said: “With the festive season approaching, it’s heartening to see such strong public support for small businesses. Small Business Saturday continues to play a crucial role in encouraging the nation to shop small and support local entrepreneurs.”
In addition to shopping small, organisers are also urging people to support their favourite independent businesses in other ways — whether by leaving positive reviews or spreading the word to friends and family.
As the festive period kicks off, now is the perfect time to support the small businesses that bring so much value to our communities. Whether it’s buying local products, dining at independent restaurants, or simply spreading the word about a favourite local shop, every action can make a difference.
