Planning the work Christmas party? Here are 25 work Christmas party ideas for every size of team and budget, plus the facts behind them: what UK businesses spend, why some staff skip the party, and the £150 tax rule worth knowing before you book anything.
The best work Christmas parties have one thing in common: everyone feels included. That means a date people can make, a budget that doesn’t break the bank, something to do besides drink, and an easy way home at the end. The work Christmas party ideas below are grouped by type, with notes on who each one suits, so you can pick something that fits your team rather than repeating last year.
Work Christmas parties in numbers
A few figures help set the scene before you weigh up work Christmas party ideas.
| What the research says | Figure |
|---|---|
| Average Christmas party budget at small and medium-sized businesses for 2025£1,353 per business, about 10% less than the year before (ANNA) | £108 per employee |
| Most an annual staff party can cost before it becomes a taxable benefitPer head, per year, including VAT (HMRC) | £150 |
| Small business owners who didn’t know about the £150 ruleANNA | 53% |
| Owners who say the party is the best working day of the yearANNA | 51% |
| Office workers who planned to skip their Christmas party in 2024Survey of more than 1,000 UK office workers (HRreview) | 23% |
| Office workers not interested in events built around alcoholSame survey | 48% |
| UK adults who choose no or low-alcohol drinks as part of how they drinkDrinkaware Monitor 2025 | 44% |
| Working adults in Great Britain who work hybridJanuary to March 2025 (ONS) | 28% |
What people really think of the work Christmas party
Most teams still look forward to it. In ANNA’s research with small business owners, 53% said festive celebrations are important for team morale, and the most popular plans were a meal out (37%), drinks (28%) and hiring a DJ (17%).
Not everyone is so keen, though. In a 2024 survey of more than 1,000 UK office workers, reported by HRreview, almost a quarter planned to skip their party. The reasons were simple: 31% said they just don’t enjoy it, 24% didn’t want to spend extra time with colleagues, and 19% wanted to avoid drunk co-workers.
Alcohol came up again and again. In the same survey, 42% said Christmas parties rely too heavily on drinking, a quarter had felt pressured to drink, and 22% of Gen Z respondents don’t drink at all. Almost half of millennials (48%) said they would prefer an activity-based or alcohol-free event.
The takeaway: give people something to do, make drinking genuinely optional, and pick a time that works for parents, carers and anyone with a long journey home. Do those three things and more of your team will turn up.
How much does a work Christmas party cost?
It depends on your team and your plans, but small and medium-sized businesses set aside an average of £108 per employee for Christmas 2025, according to ANNA. Many were trimming costs: 47% of those cutting back planned to stay in their own town or city to avoid transport costs, and 41% planned to limit food and drink per person.
The bigger number to know is HMRC’s £150. If your work Christmas party meets the conditions, it isn’t a taxable benefit for your staff:
- £150 per head, including VAT. Work it out by dividing the total cost by everyone who attends, including any partners or guests.
- Travel and hotels count. If you pay for transport or overnight accommodation so people can attend, add it to the cost.
- It must be an annual event open to all staff, or to everyone at one location if you have several sites. A one-off celebration doesn’t qualify.
- More than one event? The costs per head are added together. If the total goes over £150, the events that make best use of the £150 stay exempt and the rest become taxable.
- Go over the limit and the whole amount is taxable, not just the part above £150.
- Virtual parties can qualify too, as long as the other conditions are met.
It’s worth checking the details with your accountant, but the rule of thumb is simple: keep the full cost per head, travel included, at £150 or less.
When to hold your work Christmas party in 2026
Christmas Day 2026 falls on a Friday, so the Fridays in December are the 4th, 11th and 18th. Friday 18 December is the last Friday before Christmas, traditionally one of the busiest nights out of the year, so expect busy venues, packed trains and taxis in short supply.
- Book early for a December Friday. They are the first dates to go.
- Consider a Thursday, such as 3, 10 or 17 December. You’ll usually find more availability, and the weekend still follows.
- Try a long lunch. A daytime party during working hours suits parents, carers and anyone with a long commute.
- Or move it to January. A “Christmas in January” party lands when diaries are quieter, venues have more space and nobody is partied out.
25 work Christmas party ideas
These work Christmas party ideas run from classic nights out to activities you can bring into the office, with options for remote teams and tighter budgets.
Classic ideas
- Christmas lunch or dinner out. Still the most popular choice. Book a private room or a long table, choose a set menu, and collect pre-orders and dietary needs well in advance.
- A festive party night. Many hotels and venues offer packages with dinner, decorations and a DJ. They take the organising off your hands, either as a private event or alongside other parties.
- Drinks and a DJ. Simple and sociable. Put on proper alcohol-free options, plenty of food, and a finish time that leaves people able to get home.
Bring the party to the office
- A mobile cocktail masterclass. A host brings the bar to your office, meeting room or a private room, then teaches everyone to shake, stir and garnish three or four cocktails over two hours. It gets the whole team involved, works for any group size, and is just as much fun with alcohol-free versions. This is what we do at Butler Direct: classes start from £25 per person with every ingredient and all the kit included. Most work events go for a smartly dressed mixologist, and for a less formal team night, a butler in the buff can host at no extra cost. See what’s included in a mobile cocktail class.
- A festive quiz. Mix teams across departments, set a few rounds, and give a prize to the winners. Our free Christmas party games include printable rounds you can use as they are.
- A party games tournament. Pass the parcel with forfeits, charades and a Christmas bingo card keep everyone talking, and nobody needs to leave the building.
- A festive bake-off. Bakers bring entries, everyone else judges, and the leftovers keep the office fed all afternoon.
- Secret Santa with a twist. Set a theme or a small price limit, or let people swap gifts in a game so the best ones change hands.
- A wreath-making workshop. A local florist brings the greenery and shows everyone how. It’s relaxed, creative and everyone takes something home.
- A Christmas jumper competition. Award prizes for the best, the worst and the most homemade, and ask for a small donation to a charity of the team’s choice.
Get out of the office
- Bowling. Easy for any ability, and most alleys offer food and private lanes for groups.
- Ice skating. Seasonal rinks pop up in many towns and cities. Follow it with mulled drinks or hot chocolate.
- An escape room. Great for teams who like a challenge. Bigger groups can race against each other in separate rooms.
- Crazy golf, darts or shuffleboard. Bars built around games give people something to do and a reason to mix.
- Private karaoke. A booth for your group means nobody has to sing in front of strangers.
- A comedy night. Book a table at a local comedy club and let someone else do the entertaining.
- A cookery class. Cook a festive menu together, then sit down and eat it.
- A Christmas market trip. Many towns and cities run festive markets through December, perfect for an afternoon out before dinner.
- A boat trip. A festive river cruise with food and drink makes the evening feel like an occasion.
Daytime and inclusive ideas
- A festive afternoon tea. Finger sandwiches, scones and mince pies suit almost everyone, drinkers or not.
- A volunteering day. Spend part of the day helping a local food bank or community project, then celebrate together afterwards.
- A long lunch and an early finish. Sometimes the most popular perk of all is going home early.
Ideas for remote and hybrid teams
- An in-person team day. With so many people working hybrid, the party may be the one day everyone is in the same room. Plan a morning together, then lunch or an activity.
- Festive boxes and an online quiz. Post treats to people’s homes, then run a video quiz. HMRC confirms virtual parties can qualify for the £150 exemption too.
A budget-friendly option
- A January party. Venues are quieter, availability is better, and a party in the darkest month of the year gives everyone something to look forward to.
How to plan a work Christmas party people actually enjoy
- Ask the team. A quick anonymous poll on dates, daytime or evening, and two or three ideas makes the final choice easier.
- Set a budget per head. Include travel if you’re paying for it, and keep the HMRC £150 limit in mind.
- Pick a date early. December Fridays go first, so decide sooner rather than later.
- Make it inclusive. Offer proper alcohol-free drinks, collect dietary needs, check the venue is accessible, and remember not everyone celebrates Christmas. Calling it an end-of-year or festive party can help.
- Plan the journey home. Choose somewhere close to transport links, set a finish time, or arrange taxis for those who need them.
- Set expectations. Acas notes that an employer can be held responsible for discrimination at a work party, just as in the workplace. A friendly reminder about behaviour, and a named person people can go to on the night, keeps the party fun for everyone.
- Include everyone. Pick a date remote and part-time staff can make, and help with travel if they have further to come.
- Have a plan B. Winter weather and seasonal bugs happen. Know your venue’s cancellation terms before you pay a deposit.
Work Christmas party FAQs
How much should a work Christmas party cost per person?
Small and medium-sized businesses budgeted an average of £108 per employee for Christmas 2025, according to ANNA. Keeping the total cost per head at £150 or less, including VAT and any travel you pay for, means it shouldn’t become a taxable benefit for your staff.
Is a work Christmas party tax-free?
It can be. HMRC’s exemption covers an annual event open to all staff (or all staff at one location), as long as the cost per head is £150 or less including VAT. Check the details with your accountant.
When should we book our work Christmas party?
As early as you can, especially for a Friday night in December. Thursdays, lunchtimes and January dates are easier to find later on.
What if some of the team don’t drink?
Plenty of people don’t, or drink less: 44% of UK adults choose no or low-alcohol drinks, according to the Drinkaware Monitor 2025. Choose an activity rather than a night that’s all about the bar, and put on alcohol-free options people will actually want.
What’s a good Christmas party idea for a small team?
The best work Christmas party ideas for small teams bring something to you. A cocktail masterclass, a festive quiz or a long lunch in a private room all work brilliantly for a handful of people, with no need to share a venue with other parties.
Plan your work Christmas party
Whichever of these work Christmas party ideas you choose, the parties people remember are the ones where everyone joined in. If a cocktail masterclass at your office or venue sounds right for your team, our hosts bring the bar, every ingredient and all the kit, so all you need to provide is a table.
Whatever you’re celebrating, Drinkaware has handy tips for keeping the drinks flowing sensibly.
Sources
- UK SMEs scale down Christmas plans, reporting ANNA’s survey of 500 SME owners and decision makers, with OnePoll
- Annual parties and other social functions (EIM21690), HMRC
- Office Christmas parties see declining attendance, HRreview, 26 November 2024
- Half of young adults now choosing no and low-alcohol drinks, reporting the Drinkaware Monitor 2025
- Who has access to hybrid work in Great Britain?, ONS, June 2025
- Vicarious liability, Acas