PARENTS are splashing out thousands of pounds on plasma TVs and designer furniture ... for their new baby's nursery.

They are even buying works of art and hand-carved antique chairs for the baby's luxury room, a survey reveals.

Other items bought for a nursery include rare film memorabilia and signed football shirts.

Research by Halifax Home Insurance showed parents in the UK were spending £1.8billion, or £2628 each - half the cost of a new Peugeot 107 car.

However, Scots parents spend the least - at just £574 on average.

One in five children under three has a TV set in their room, while 5% of parents have even considered installing CCTV to keep an eye on their little ones.

Two-thirds of people with children under three, or who are expecting a baby, admitted they had not set a budget before they started decorating their nursery.

And one in 10 of those who had set a limit overspent by more than £1000.

Vicky Emmott, senior manager of underwriting at Halifax Home Insurance, said: "The new baby boom is all about the amount parents are spending, to ensure their children start life in a luxury home nursery.

"Parents are spending almost half the price of a new car on their children's home nurseries.

"Many expectant parents are unaware how the costs of cribs, Moses baskets, baby monitors and toys soon mount up."