London’s festive lights, a tradition since 1954, are integral to the capital’s economic and social vitality, says Karen Baines
When London switched on its first festive lights along Regent Street in 1954, few could have imagined how profoundly they would come to define the season. That gesture lit the way for a much-loved tradition that frames the city’s festive calendar. Now, 70 years on, London’s Christmas lights are more than aesthetic: they are integral to the capital’s economic and social vitality.
Festive decorations in the West End help drive the seasonal uplift that many retailers count on, drawing out shoppers and encouraging them to stay longer and explore. People who come to see the lights often combine their visit with a full day of shopping, meals out, theatre trips or festive activities, contributing directly to the vitality of the West End. This blend of experience and spend sits behind the New West End Company’s (NWEC) forecast of 1.3 per cent year-on-year growth in festive spending in 2025.
Less easily measured, but no less important, is their impact on London’s reputation. Think of London at Christmas and Regent Street’s iconic ‘Spirits of Christmas’ may well come to mind. Photos and videos of illuminated streets are captured organically on social media and circulated to millions of people worldwide, bolstering the UK Capital’s tourist appeal and projecting its status as a global destination.
NWEC anticipates international visitor spend rising by 1.9 per cent year-on-year this festive period, with inbound flights tracking 2.8 per cent higher in November and December compared to 2024. These indicators highlight the enduring draw of London on the international stage, actively supported by festive programming. Put simply, the lights shape how the world sees London and brings people here to experience it for themselves.
Places to be proud of
The social and emotional impact of the lights lasts well beyond December. Seasonal activations create places people are proud of, strengthening the social fabric of the city by giving communities reasons to gather. They help strengthen the connection between people and place, which in turn supports long-term commercial resilience. They create destinations shoppers, workers and tourists enjoy and want to return to, keeping the city moving year-round.
Crucially, these experiences can’t be found scrolling through an online store. They shine a spotlight on the role of physical destinations as places of discovery and connection. On Regent Street, we’re seeing brands building increasingly active, engaged communities through in-person experiences at flagship stores. At this time of year, festive decorations strengthen this work by enriching the shopping experience at a street-wide scale. They help transform Christmas shopping from a chore into an experience, in a way that only physical retail can deliver.
For The Crown Estate, this is both a seasonal opportunity and a long-term commitment. In the 1950s, we brought the first Christmas lights to London and ten years ago installed Regent Street’s instantly recognisable ‘Spirits of Christmas’ lights. This month, we transformed the street into a one-day festive mile, opening it up to pedestrians for the first time since 2020.
Footfall increased on the street by 45 per cent year-on-year and retail and hospitality businesses reported an average year-on-year increase in sales of 35 per cent. With a gift-wrapping station, choir performances, dancers and street performers, selfie spots and a disco hosted by the charity Choose Love, all of Regent Street became a place to get involved and celebrate, not just pass through.
This is also a glimpse of what the West End can be more often. Plans to more permanently pedestrianise Regent Street St James’s would create opportunities for community activation throughout the year. By prioritising experience, inclusivity and connectivity, we aim to shape places that feel meaningful across all seasons, not only at Christmas.
Seasonal lights and activations illustrate how festive joy, customer experience and economic impact are interlinked. They support retailers, enrich public spaces and reinforce London’s global reputation. Though the lights shine for only a few weeks, the goodwill, civic pride and economic uplift they generate will endure into the new year and remain in place long after Christmas is over.
Karen Baines is marketing director at The Crown Estate