Both Microsoft and its acquisition target Yahoo have invested millions in new search platforms and have channelled resources into successfully rolling out new products in the UK.
However, Google continues to be by far the dominant player in the UK market.
Stats from research firm comScore confirm that 154 million searches were made via Yahoo UK in December, down from the previous month's 171 million and down from 158 million searches in December 2006. ComScore started tracking search performance in December 2006.
Similarly, searches via Microsoft in December totalled 127 million, down from 143 million in November and 130 million in December 2006.
The number of searches via Google during December declined for the fifth consecutive month, dipping to just more than 2.2 billion.
Unlike Microsoft and Yahoo, however, Google was up from the previous December, when it recorded 1.8 billion searches.
ComScore's figures show that Google's market share in the UK increased from 79% to 81% between December 2006 and December 2007, with Yahoo on 6% and Microsoft 5%.
Ask.com remained the fourth-biggest player in the UK market with 98 million search queries, while AOL recorded 72 million, the research found.
Yahoo and Microsoft fare better in the US where they have 21% and 9% shares of the market respectively, according to comScore.
The search sector will change significantly should Microsoft's recent proposed takeover of Yahoo go ahead.
Given that Google's DoubleClick acquisition has taken 10 months to secure US regulatory approval, however, any Microsoft-Yahoo deal could take months to be completed. Consequently, Google is expected to look to further cement its search dominance.