Household spending has dipped following the post-pandemic boom. Combined with recent economic uncertainty, market growth remains modest; nearly a third of consumers have cut back on home spending over the…
UK
Home Retailing
Consumer Habits
simple
UK Consumer Trends, Attitudes and Spending Habits for the Home Report 2026
"A surge in house sales in early 2025 boosted interest in functional upgrades and renovations, while decorating saw a dip in demand. Looking ahead, consumers will continue to seek value, focusing on both price and quality."
UK Home Retail Market – Consumer Trends and Insights
Household spending has dipped following the post-pandemic boom. Combined with recent economic uncertainty, market growth remains modest; nearly a third of consumers have cut back on home spending over the past year. Interior decorating has been hit hardest, dropping nine percentage points since 2023. Conversely, investment in more practical home improvements saw a slight uptick, encouraged by changes to Stamp Duty in early 2025.
Broad economic pressures continue to dampen consumer confidence. Although this affects the home sector, many people still intend to spend, as items bought during the pandemic reach the end of their lifespan and require replacing. When making these purchases, consumers are increasingly prioritising price, quality and long-term product guarantees.
Social media is now a vital part of the buying journey, particularly for younger shoppers. Most 16-24s admit their home decor choices are influenced by social platforms. Given this age group’s comfort with social commerce, brands like Primark and DFS are capitalising on the trend through targeted campaigns and exclusive ranges on Pinterest.
This Report Looks at the Following Areas:
The size of the UK market for consumer spending on the home and key opportunities in the sector
How much consumers have spent and are expected to spend on their homes, including the items they have invested in over the past 12 months
Changing shopping behaviours for home spending, as shoppers focus on price and quality over the next year
The key drivers behind home spending, from replacing old items and boosting property value to reflecting personal style
Consumer attitudes towards home spending, including the emotional value of the home and the influence of social media on purchasing behaviours
Report Scope
This report looks at consumer attitudes towards spending on the home. This Report is an overview and looks at consumer priorities of buying for their homes and delves into the triggers for purchase. Broadly it will take in: furniture, carpets, decorating, the garden, energy (savings), security, home extensions, and smart home developments.
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EXECUTIVE SUMMARY
What you need to know
Outlook for consumer spending on the home
Opportunities
Leverage social commerce to inspire and drive purchases for the home
Cultivating the home as a sanctuary for wellness
Resale is the future of the home sector
THE MARKET
Snapshot – market size and forecast
Market factors
UK housing market adjusts amid stamp duty changes
Graph 1: number of property transactions with a value over £40,000 completed in the UK, 2019-25
Autumn Budget pressures high earners’ spending
Consumers remain discerning as home inflation eases
Graph 2: annual rate of inflation, 2024-25
Modest growth expected for spending on the home
Consumer spending is projected to rise by 13% between 2025 and 2030
Graph 3: consumer spending on the home, 2019-2030
THE CONSUMER
Spending on the home
Higher earners more inclined to spend on the home in the future
Consumers are spending less on the home
Home shoppers look to prioritise function
Renters are spending under £500 on the home
Graph 4: amount spent on the home, by living situation, 2025
Shifting home shopping behaviours
Value and quality take centre stage
Homeware brands tap into style-conscious shoppers
Younger consumers want flexibility and convenience
Sustainability is not front of mind for consumers, but is a growing concern
Home as space for wellbeing
The home is seen as a sanctuary
A tidy home boosts productivity for women
Tidiness is key for families
Women see their homes as a haven
Social media’s influence on the home
Age shapes enjoyment of entertaining at home
Younger consumers like to entertain at home
Higher earners seek to impress guests
Home retailers are teaming up with Pinterest
Graph 5: reasons to invest in the home, by social media app usage, 2025
Social media is a key driver to home purchasing
Cost-conscious choices for the home
Renters seek out second-hand items for the home
Digital product passports can ensure proof of quality
Family dynamics influence spending
Graph 6: triggers to purchase for spending on the home, by lifestage, 2025
INNOVATION AND MARKETING
How retailers are connecting with home shoppers
The home can help better support sleep health
IKEA focuses on accessibility with smaller stores
Zara turns flagships into lifestyle destinations with new ‘Apartamento’ concept
JW Anderson continues its transformation as a lifestyle brand
Amanda Holden teams up with DFS for exclusive sofa collection
Convenience when it comes to home shopping is key
Pottery Barn launches debut UK pop-up in West Elm’s Tottenham Court Road store
APPENDIX
Market definition
The market
Forecast methodology
Forecast methodology – fan chart
Market size and forecast of consumer spending on the home
Market forecast and prediction intervals
Market segmentation
The consumer
Consumer research questions
Consumer research methodology – EMEA
Repertoire analysis methodology
Abbreviations and terms
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