Report Summary

Period covered: 01 February - 28 February 2026

3 minute read

Note: This report summary is one or two months behind the current month as standard reporting practice. The content is indicative only and incomplete with certain data undisclosed. Become a member to access this data or take out a free 30-day membership trial now.

Clothing & Footwear Sales

Clothing sales rose by xx% year-on-year in February, with footwear sales increasing by xx% over the same period.

Performance weakened relative to January, as the impact of clearance activity faded and demand softened across core categories. Footwear lagged, reflecting more limited engagement and weaker seasonal demand.

Key drivers

February marked a slowdown following January’s promotion-led rebound. Clearance activity had pulled forward a portion of demand, leaving a quieter trading environment as discounting eased.

Weather conditions played a significant role, with persistent rain and unsettled conditions reducing store visits and delaying the transition to spring purchasing. Seasonal demand was disrupted, with consumers continuing to rely on existing wardrobes instead of investing in new-season ranges.

Consumer behaviour remained cautious. Households prioritised essential spending and limited discretionary purchases, with apparel often among the first categories to be deferred. Where purchases did occur, they tended to be need-based or value-driven.

Event-driven demand provided only partial support. Valentine’s Day lifted sales in accessories, gifting categories and occasionwear, though the impact was short-lived and insufficient to offset broader softness.

Macro backdrop

The macroeconomic environment remained challenging, with geopolitical developments adding to existing pressures on households.

Consumer confidence declined during February, as households responded to increased uncertainty around inflation and the broader economic outlook. This weighed on discretionary spending, particularly in categories such as clothing and footwear.

Inflation trends were stable in February, with CPI holding at xx% year-on-year and rising xx% on the month. Food and non-alcoholic beverage inflation eased to xx% year-on-year, offering some relief in essential spending.

However, the escalation of conflict in the Middle East late in the month increased uncertainty around the inflation outlook. Rising energy prices have introduced upward pressure on the near-term path for inflation, with expectations now pointing to CPI remaining closer to xx% over the coming quarters.

Monetary policy has become more cautious in response. Interest rates were held at xx%, with expectations for near-term reductions pushed further out.

The labour market continued to soften, with unemployment at xx% and wage growth slowing to xx%. Real income growth remains limited, constraining discretionary spending capacity

Household finances ultimately remained under pressure, with consumers prioritising essential spending and managing budgets carefully.

Outlook

February confirmed that January’s uplift was short lived. Demand remains highly selective, with consumers engaging when prompted by value or necessity. Weather disruption and weaker confidence combined to limit activity and suppress discretionary spend.

The outlook remains subdued in the near term. Demand is expected to remain closely tied to promotional activity, seasonal triggers and improvements in weather conditions.

Spring ranges and better weather may support a gradual recovery in demand, though this is likely to be uneven and dependent on consumer confidence.

Underlying volumes will remain under pressure as consumers continue to prioritise essential spending.

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Confidence fell two points to -21 in March