Office Christmas parties are back!

Rashid Rasaq - Evening Standard - Thursday November 4th

Three quarters of businesses plan a celebration this year compared with just over half last year, a poll of human resources managers shows.

Events companies report a 15 to 25 per cent increase in bookings for corporate parties. But the champagne and sit-down dinners are being replaced with cava and buffets.

Sam Gill, of The Ultimate Experience events firm, said: "We're not up to the levels we saw before the recession, but there has been a strong increase on the last two years.

"Employers realise Christmas parties are a relatively cheap way of showing gratitude for loyalty and hard work, particularly as staff might not be receiving a bonus."

Ultimate has already taken bookings for 196 bashes, catering for 70,000 people, including City banks and retail and media firms. The average spend is £110 a head. Mr Gill said: "The big banks are probably spending 20 to 30 per cent less per person than in 2007, not wishing to be seen to be extravagant.

"Cuts are coming in the new year, and VAT rises, so they're not splashing out. It's good but basic entertainment - house bands, no chocolate fountains or unlimited spirits bars."

It is a far cry from the boom days. An estimated £120 million was spent on parties in two days in December 2007. Caroline Hurley, creative director of Quintessentially Events, said: "It's not seen as acceptable to be showing off. The drink doesn't have to be Krug. The entertainment doesn't have to be a huge star. People are looking for something quirky and perhaps cultural."

The Savoy is fully booked for December. It will host drinks parties for up to 800 guests at a time and dinners for 400 people. Claridge's is also booked for the whole Christmas period. A spokeswoman said: "We are seeing a high return of clients who have not been entertaining over the past few years."