The annual Deloitte Christmas Retail Survey looks at how much money people plan to spend on gifts, socialising and food during the festive season.
This year the average sum reported was £655, down by 7% on last year. The area people are most likely to spend less on is socialising.
But while there are reports that thousands of jobs will disappear every day, 57% of people said that they would spend the same as last year and 19% are budgeting more.
According to the Financial Times, the survey quizzed consumers initially in August and again in October but found no difference in consumer sentiment, except a small decline in the amount to be spent on gifts.
Last week's dramatic 1.5% cut in interest rates came after the survey had been completed.
While the 7% average reduction might not seem too drastic, given the circumstances, retailers are bracing themselves for a tough season.
Richard Hyman, strategic adviser to Deloitte's retail practice, said: "Broadly speaking, we believe sales will be flat this Christmas, with a slight fall possible."