Britain’s looming recession will not keep shoppers off the streets entirely this Christmas but consumers will be maintaining a careful watch on their finances. Growth in spending this year will run at nearly its lowest rate in two decades.

Spending in the last three months of 2008 is set to grow by 2 per cent as consumers spend £82.3bn ($133.9bn) – an average of £1,363 per Briton – on Christmas foods and gifts, according to research released on Thursday by Verdict, the retail consultancy.