Cut the hollows from normal egg cartons and glue two together to make christmas 'baubles'...
Use glossy magazines, cut into strips, then link loops together to make streamers...
Use glossy magazine pages to make snowflakes (fold them multiple times into a wedge then cut shapes from the wedge)...
Pick up fabrics from your local recycling centre, or ask for them on freecycle, and make a rag rug to sit under the Christmas tree.