The UK has the largest proportion of e-tailers in the European Union, with e-shoppers spending £118 per head, more than in any other European country, according to a new report.

Market analyst Forrester's survey of online spending for the Christmas period found that the UK and Germany account for nearly two thirds of all European online sales.

The UK leads the way with 36 per cent of all online sales, with Germany coming in second at 27 per cent. This is despite the UK not having the highest penetration of people with internet access in Europe.

Even more impressive is that the UK boasts more e-tailers than any EU member state.

Spending online this Christmas is set to double last year's £1.1bn, according to Forrester.

Hellen Omwando, a senior analyst at Forrester, said that this is due to the UK government's push to make Britain a leading digital economy.

"The cost of internet connections in the UK, while not the cheapest in the EU, has come down by 61 per cent between 2000 and 2001, which has helped more people in the UK get online. In addition the cost of PCs had dropped in the UK," she told vnunet.com.