Online spending in the UK will more than double to £21.3 billion by the end of 2011, according to PayPal’s UK Online Retail Report.
The research, which was conducted by Experian, forecasts that online shopping will be the most significant factor in helping UK retail out of the recession.
The predicted 137 per cent growth in online spending means UK adult consumers in 2011 will spend the equivalent of around £430 each, more than doubling the current figure.
And, almost one in four UK adults (24 per cent) believe online shopping will overtake the high street meaning the latter will eventually die out.
Increased interest in online shopping has been attributed to consumers needing to make the most of their money, with shoppers scrutinising purchases before committing and they believe the best deals can be found online.
It was also discovered that 40 per cent of online shoppers find it easier to budget by purchasing items online rather than on the high street, while 47 per cent believe their money goes further online.
The report also found that by the end of 2011 at least one in every 14 pounds spent shopping will be online.
Carl Scheible, managing director of PayPal UK, said: “As we all try to make our budgets work harder during the recession it is hardly surprising many of us have headed online to seek a better deal. In fact almost nine million of us now shop online at least once a week.
“Online shops have already seen phenomenal growth and by the end of 2011, when the recession is expected to be over, we’ll be spending at least one in every 14 pounds online.”
