December 13, 2017 11:00 AM

Taylor Swift and Joe Alwyn sent Swifties into a frenzy after they showed off some sweet PDA over the weekend at the Jingle Bell Ball in London, and a source tells PEOPLE exclusively the couple are happier than ever.

“She has been more busy with work and traveling, but Joe continues to be supportive and great,” says the Swift source, who adds that the duo are planning to spend the holidays together.

Taylor Swift; Joe Alwyn
Bryan Steffy/Getty; Mike Marsland/WireImage

When the Grammy winner, 27, heads out on tour next year, “Joe will travel with her as much as possible,” adds the source. “Taylor is still very happy with him.”

For more on Taylor Swift’s happy relationship with Joe Alwyn, pick up the latest issue of PEOPLE, on newsstands Friday.

While Swift lit up the stage performing hits off her 1989 and reputation albums at Jingle Bell Ball, her proud Brit actor boyfriend, 26, “taped her on stage and seemed very excited,” says an onlooker. “Taylor was very energetic and happy.”

The couple — who dated secretly for months before their relationship was revealed in May — later cuddled and kissed in the crowd while watching pal Ed Sheeran‘s set that included his love song “Perfect.”

RELATED VIDEO: How Taylor Swift & Joe Alwyn Plan To Make It Work When She’s On Tour

“Taylor and Joe slow-danced,” says the onlooker. “You could tell they had a great night.”

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