Dining out is one of my favorite topics. Unfortunately with the value of the $ it's hard to justify dining at nice places. My favorite place in London is River Cafe in Hammersmith. Not sure if they're open for xmas though - in fact as I think about it, probably not. It's also very pricey - dinner for 2 w/ starter and 2 glasses of wine each was 125 to 150 GBP. The food (and service) was absolutely incredible though.
I've dined at a restaurant called the Tenth - at the top of Royal Garden Hotel next to Kensington Palace. Very good food. Great views. I can recommend it - although I see for xmas they're having a christmas buffet. Sounds great but maybe a buffet isn't your thing.
I can also recommend The Victoria - a gastro pub in Sheen. Excellent food. Their roast beef was amazing.
www.thevictoria.net It's a very nice place too. Hardwood floors, white tablecloths. They were listed in the michelin pub guide. I'd describe the food as modern british - an inventive chef. Plus it's family owned and that's always a plus to me.