Credit Crunch

Top firms turn Scrooge for credit crunch Christmas

Many companies are planning their staff Christmas parties at the moment but even this traditional festivity is being hit by the credit crunch.

City workers used to party in their offices with banquets and champagne but now, they can expect finger buffets and a pint… if they’re lucky. In some cases, staff have been told they have to pay for food and drink at the office party.

Channel 4 has warned its staff that there’ll be no free shots of spirits nor will there be entertainments such as “massages and chocolate fountains” this year.

Lloyds TSB has reduced the party budget for its members of staff to £35 each while the Royal Bank of Scotland is allowing just £10 per person maximum.

Some well known companies who are suffering in the global financial crisis have cancelled their staff parties altogether. HBOS staff are missing out, as are staff of investment banks Morgan Stanley, Goldman Sachs and Barclays Capital, all of whom have axed their festivities.

Television watchdog Ofcom is spending around £2,000 on a party at its London HQ for 800 employees while all 2,000 staff at the Audit Commission have been told they’re entitled to spend £30 each.

The Department for Culture, Media and Sport are to have a party at the Wallace Collection gallery for 120 contacts in the art and museum world but a department representative insists the affair will cost no more than £5,000.