shoppers at home in the run-up to Christmas.

They have launched a festive campaign aimed at persuading residents to spend their money on the Island, and not abroad.

Brighter stores, special street events and a regular prize draw are the lures that organisers are hoping will bring in the dollars.

Chamber of Commerce officials launched the Christmas Shopping Festival yesterday by joining Santa on a tour round Hamilton.

They said the event was the first of its kind, and the biggest-ever run by the business umbrella group.

More than 70 merchants, pub-owners and restaurateurs have already joined the scheme, said Chamber president Mr. Louis Mowbray.

"We realise that during these tough economic times we have to be pragmatic,'' he said.

"The reality is that for different reasons, people are still going to shop overseas to some extent.

"What we are trying to do is to give people a reason to stay home. Every dollar spent here is, in some way, a gift to our beautiful Island home.'' The background to the scheme is the Chamber's fear that this winter will be "crunch time'' for many retailers, already reeling from three bad summers in a row.

In the fall, when figures revealed big increases in overseas spending and slipping sales at home, Chamber first vice-president Mr. Bobby Rego warned the winter could see reduced work weeks and lay-offs.

"We hear about Bermudians shopping overseas because of the atmosphere and because of the freedom of time,'' Mr. Rego said yesterday. "We're hoping to encourage them to shop at home.'' The campaign will cover all the Island's main shopping areas, with special events including a "lighting of the city'' ceremony in Hamilton on November 27, a "Dancing in the Street'' festival, and Santa parades.

Every Friday night, organisers have planned street music, dancing, gombeys, school chorallers and fashion parades.

Every shopper who spends more than $25 at a participating business will qualify for a weekly draw, with the chance to win a prize.

Organisers anticipate more than 100 winners, with top prizes including a four-night stay at Elbow Beach and a locally-made dinghy.

"The idea is to create a feeling of festivity in and around Bermuda shops this Christmas and to put some fun back into shopping,'' said Chamber executive director Ms Carolyn Mello.