Retailers say millions of pounds sit on forgotten gift cards while households gear up for Christmas. A two‑minute sweep of your purse, pockets and inbox could uncover cash you can use today, before it evaporates under expiry rules.
Hidden money in plain sight
Fresh company filings point to a huge pile of unspent gift card cash at two of Britain’s best‑known department store names. Marks & Spencer reports £215.1 million in outstanding balances on its cards and e‑vouchers. John Lewis discloses another £105 million sitting unused. That is more than £320 million waiting to be spent on groceries, clothing, homeware and gifts.
More than £320,000,000 of M&S and John Lewis gift card balances remain unspent. Some will vanish when expiry kicks in.
This silent stockpile is building even as budgets remain tight. Researchers tracking the sector say the UK gift card market will grow 8.3% this year to £8.8 billion, with a forecast of £11.7 billion by 2029. The trade body for the sector reports a 9.5% rise in sales in the first half of 2024, with digital cards up 17% as e‑vouchers become the quick, send‑from‑your‑sofa option.
The catch many people miss
Plenty of those cards never get used. Recent polling indicates 11% of UK adults let at least one voucher expire in the past 12 months. The average loss per person reached £75.30, rising to £86 among 16–34s who receive more cards and juggle more apps.
Eleven in every hundred adults lost value to expiry last year, at an average of £75.30 each.
That is money people intended to spend at the tills. For families planning Christmas, it could cover a turkey, a bottle of fizz, and stocking fillers. For students, it could mean a winter coat or a week’s worth of lunches.
Why now is the moment to look
November is when Christmas lists start growing, baskets get fuller and delivery slots book up. It is also when last year’s cards fall out of wallets with dates set to run out. Card terms vary wildly, and there is no statutory minimum expiry period in the UK. Retailers choose their own rules, including inactivity clauses that can wipe balances after a set time.
There is no legal minimum expiry term for gift cards in the UK. Each retailer sets the rules.
Use the cards before you are forced into a rushed purchase or a wasted balance. Most retailers will not give cash change, so planning helps. Spending smaller balances first also reduces the risk of losing odd pounds and pence.
Typical expiry rules at a glance
- Cards that usually expire after 12 months: B&M, Costa, Vue, Ticketmaster.
- Cards that typically have no expiry: Apple Store, Starbucks, Theatre Tokens, National Book Tokens.
- Terms can change. Always check the current policy before you shop.
How much could you have tucked away?
Think about cards you received for birthdays, Secret Santa or rewards from work. Many end up buried in a kitchen drawer or archived in an email account you do not open often. Small sums add up quickly, especially when they reduce what you pay on essentials.
Try this five‑minute drill now. It costs nothing and could knock real money off your next shop:
- Empty your wallet, handbag and coat pockets. Pull out any plastic cards with a barcode or long number.
- Search your inbox for “gift card”, “e‑voucher”, “e‑gift” and the names of major retailers you use.
- Add the cards to your phone wallet or the retailer’s app to trigger reminders and check live balances.
- Prioritise cards with the earliest expiry date or inactivity rule.
- Use small balances first, as many shops do not give change on part‑spend.
- Group purchases to use up odd amounts in a single basket where the retailer allows part‑payment.
- If you do not want the card, pass it on as a present or trade it on a trusted platform to avoid waste.
What to know about expiry, fees and failures
Expiry dates are only part of the picture. Some retailers reset the clock each time you use a card; others do not. A few apply inactivity rules that cancel balances after a period without use. Always check the terms printed on the card or shown in your app, including what happens if you split payment online.
There is also a risk if a retailer collapses. Gift card holders usually sit behind secured creditors in any insolvency process. In plain language, you may not get your money back. If you hear troubling news about a brand you hold a card for, think about spending it sooner rather than later.
Making gift cards work harder
A bit of planning can turn vouchers into a genuine budget boost, not a forgotten token. Set calendar reminders one month before each card’s expiry. Keep a simple note on your phone with the retailer, balance and date. Pair cards with planned purchases you would make anyway, like school shoes, kitchenware or toiletries. If your balance is larger, consider a timed shop during a store’s promotion to stretch the value further.
Turn scattered vouchers into a shopping plan: record balances, set reminders, and match cards to needs you already have.
Numbers behind the boom
Brands love gift cards because they lock in future shopping and bring you back to their stores. Consumers value flexibility, ease and the speed of digital delivery. That combination is fuelling steady growth. Analysts track an 8.3% jump this year to £8.8 billion in the UK, with projections reaching £11.7 billion by 2029. The shift to digital is pronounced, with e‑cards up 17% in the first half of 2024, helped by instant gifting and corporate rewards.
Practical extras that save you time and money
Check balances before you leave home. Many retailers offer an online checker where you enter the card number and PIN. Screenshot the result so the figure is handy at the till. When shopping online, look for a gift card box at checkout and ensure you can combine payment methods if your balance will not cover the full basket.
Using a real‑world example helps. Suppose you find three cards: £50 for M&S, £15 for Costa and £10 for a cinema. Plan a weekly food shop and knock £50 off at the supermarket. Use the Costa balance to cover two takeaways you were likely to buy anyway. Book a film for a quiet post‑Christmas evening. You have just reduced your cash spend by £75 without cutting back on what you planned to do.
One caution: keep the physical card or the original email until you have received any home delivery and you are happy with the order. Returns can be refunded back to the card, and you will need the details to access the money again.
If you receive cards this Christmas
- Add new cards to your phone the day you receive them.
- Write the expiry date on the card in permanent pen if it is not obvious.
- Spend at least a small amount early to keep accounts active where inactivity rules apply.
- Consolidate small balances by using them on regular essentials rather than one‑off treats.
With billions flowing into gift cards and hundreds of millions lying idle at major retailers, the stakes are real. A brief check today could move forgotten credit from the back of a drawer to the front of your Christmas budget, where it belongs.
