Report Summary

Period covered: 03 August - 30 August 2025

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.

Homewares sales

Homewares sales rose by xx% year-on-year in August, ahead of the xx% growth recorded a year earlier and stronger than July’s result. Performance was above the three-month average of xx%, suggesting the sector has benefited from both seasonal trends and stabilising consumer demand. Key drivers that affected this performance include:

• Seasonal entertaining supported diningware, glassware, and decorative accessories, with late-summer gatherings helping sales.
• At the same time, shoppers gravitated towards practical purchases — storage, kitchenware, and affordable soft furnishings — with many making small, functional updates to refresh their homes without committing to larger outlays.
• Discounting remained a theme, with promotions helping clear summer stock ahead of autumn ranges.
• Hybrid working patterns and the continuing “nesting” effect kept demand for low-ticket home upgrades steady, as households prioritised comfort and small touches of indulgence.

Category performance

Kitchenware and dining accessories sold steadily, boosted by summer BBQs and at-home entertaining. Decorative items such performed well, as low-cost “pick-up” products fit easily into constrained budgets. Textiles, such as cushions and throws, also gained traction as seasonal refreshes, though spending stayed focused on mid-market and own-label ranges. Bigger-ticket homewares saw patchier demand, reflecting ongoing caution around discretionary purchases. Storage and organisation products remained resilient, aided by back-to-school season and demand for practical solutions in smaller homes.

Housing market

A firmer housing market underpinned sentiment. House prices edged up xx% year-on-year in August, and transactions were xx% higher than a year earlier, providing a flow of new homeowners investing in accessories and household essentials. For households not moving, modest improvements in affordability, alongside easing mortgage rates, encouraged selective spending on décor and smaller upgrades.

Footfall patterns

High street footfall rose xx% year-on-year in August, supporting homewares chains with strong city centre and retail park presences. Showrooms benefited from summer events and tourism, while digital channels played a critical role in research and price comparison. Many purchases remained omnichannel: browsing online before completing in-store, or using click-and-collect for convenience.

Closing outlook

Homewares continue to hold steady, offering affordable ways for consumers to improve and personalise living spaces. Growth in August was supported by seasonal entertaining, modest housing activity, and accessible price points across textiles and decorative ranges. The sector is increasingly polarised: value-led retailers such as Online Home Shop are capturing cost-conscious shoppers, while mid-market leaders like Dunelm continue to grow share through scale and digital capability.

Looking ahead, the shift into autumn will bring opportunities for seasonal refreshes and gifting, though much depends on consumer confidence as households await the Autumn Budget. Striking the right balance between affordability, style, and convenience across channels will remain a critical factor in influencing consumer spending decisions

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GDP forecast cut down to rise by 1.0% in 2025, down from 2.0% previously