Christmas crafters worth £376 million to the UK economy small office meeting

Christmas crafters worth £376 million to the UK economy

New research from Direct Line for Business shows that over three million Brits will be making goods in their homes to sell this festive season.

  • Over three million (six per cent) Brits will be crafting away at home making items to sell this festive season – creating everything from handmade gift cards, to woven gift baskets and even Reindeer dust
  • Making items to sell during the festive season generate sales of over £376 million
  • ‘Christmas crafters’ work on average 19 hours a week from October to December, though some start production as early as January each year

New research from small business insurer, Direct Line for Business, reveals over three million1 (six per cent) Brits plan to transform their homes into workshops making goods to sell this festive season.  These ‘Christmas crafters’ are set to generate sales of over £376 million, selling everything from homemade gift cards, candles, wine glass charms and even Reindeer dust. The Christmas craft home business market is dominated by women, with men accounting for just 38 per cent of those making items to sell.      

With consumers increasingly looking for unique, original, handmade goods, there is huge demand for home produced craft items as an alternative to mass produced high-street merchandise. The top homemade Christmas items include hand crafted Christmas decorations and greetings cards. 

Top five items festive items being made for sale:

  1. Decorations
  2. Greetings cards
  3. Festive food
  4. Jewellery
  5. Toys

‘Christmas crafters’ devote long hours to their home enterprises working on average 19 hours a week from October to December, despite many of these entrepreneurs also holding down fulltime jobs.  Seven per cent of those selling festive items will work over 40 hours a week in the run up to Christmas making their wares.  Despite the festive season offering a relatively small sales window for seasonal merchandise, 17 per cent of Christmas crafters make items all year ‘round.        

Jane Guaschi, Business Manager at Direct Line for Business said: “Inventive Brits are cashing in on the growing demand for home made and personalised goods. And the increasingly popular online auction sites and marketplaces means Brits can sell homemade craft wares just about anywhere. Many of those making and selling festive items may not even realise they are effectively running a small business and should check if they have any obligations, such as needing to pay tax or take out business insurance to protect their stock or guard against any liabilities resulting from the products they make.” 

The most popular channel for Christmas crafters to sell their wares is through Christmas markets (59per cent) and also online auction websites (53 per cent), such as eBay.  Other entrepreneurs are using online marketplaces such as Etsy and Not On The High Street (21 per cent) or their own website (14 per cent). 

‘Christmas crafters’ will keep on average £475 of stock in their homes this Christmas season, which is unlikely to be covered by standard contents insurance policy, so these entrepreneurs may need home business insurance.  With some of these home business owners keeping over £10,000 of stock in their homes, they could face huge financial risk were their home to be affected by winter floods or to be targeted by a burglar.  

Direct Line for Business’ top tips for ‘Christmas Crafters’

  • Treat your crafting like the business it is – keep records of investments, inventory and sales
  • Do you keep stock at home? If so, ensure it is kept out of the public eye away from the elements and recognise that stock may not be protected under your home insurance
  • Many crafters report working on their wares over 40 hours per week in the run up to Christmas. Make sure to take time for yourself to enjoy Christmas and avoid exhaustion
  • Understand your clients and their shopping behaviours
  • Communication is key; before, during and after a sale. Stay in touch with customers so you can update them on new products and deals
  • Keep an eye on your competitors to stay ahead of your game

Direct Line for Business offers Home Business Insurance underwritten by U K Insurance Limited which covers your business contents and stock while in transit in your vehicle and when you are attending any exhibition, trade fair or craft fair anywhere in the United Kingdom. 

Notes to editors

1 Research conducted by Censuswide amongst a representative sample of people who make festive items at home to sell during October – December

For further information please contact:

Citigate Dewe Rogerson
Amrit Nijjer
Tel: 020 7282 2803

Direct Line Group
Jade Trimbee
PR Manager
Tel: 0137 283 9452
Mobile: 07825 315 931

Direct Line for Business

Launched in 2007 Direct Line for Business provides a range of insurance products for the small business sector direct by phone or on-line.

Direct Line for Business insurance policies are underwritten by U K Insurance Limited, Registered office: The Wharf, Neville Street, Leeds LS1 4AZ. Registered in England and Wales No 1179980. U K Insurance Limited is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority.

Direct Line for Business and U K Insurance Limited are both part of Direct Line Insurance Group plc.

Customers can find out more about Direct Line for Business products or get a quote by calling 0345 301 4827 or visiting

Small Business Insurance Press Release Craft Business

ADDED: 29th October 2015