Report Summary
Period covered 05 July – 01 August 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.
Homewares sales
Homewares sales rose by xx year-on-year in July, below the xx increase recorded a year earlier and easing from xx% in June.
The category has now recorded relatively low growth for three consecutive months, having increased by xx% in May, as spending on the home failed to share fully in the stronger summer performance seen across clothing, health and beauty and food.
Key trading themes and drivers
As in recent months, the exceptional summer continued to influence spending. July was the UK's second warmest July on record and the sunniest on record, following similarly warm conditions in May and June.
After several months of spending associated with gardens, holidays and outdoor activities, the home had less prominence in day-to-day purchasing decisions than it typically gains once consumers begin spending more time indoors.
There was also an element of saturation after such a long spell of summer weather. By July, households had already experienced several weeks in which seasonal home purchases had a practical use, reducing the amount of fresh demand available as the hot weather continued. This differs from the beginning of summer, when a sudden change in conditions can prompt a more immediate response from consumers.
The wider pattern of retail spending also worked against performance. Consumers continued to find room for smaller discretionary purchases, but July contained numerous competing demands on that money, including holidays, days out and spending around the World Cup and Wimbledon.
Homewares remained part of household expenditure without becoming a priority, which left growth positive but below last year's rate.
Unlike furniture, the category does not need a recovery in housing transactions to generate demand. It does, however, benefit when consumers turn their attention back towards their homes, and the prolonged summer delayed some of the usual shift towards indoor spending.
Consumer behaviour and channel trends
Homewares lends itself particularly well to movement between stores and online channels. Consumers can browse ranges digitally before visiting a store, purchase straightforward items entirely online or add products to a wider shopping trip, making the category less dependent on a single route to purchase.
Physical retail destinations became busier during July, with overall footfall increasing from June and retail parks continuing to record year-on-year growth. That gave homewares retailers greater exposure to shoppers already visiting retail destinations.
Online demand for household goods was considerably stronger, with the wider online household goods category recording xx year-on-year growth in July.
Outlook
After three months dominated by exceptional temperatures, holidays and outdoor activity, the eventual return of cooler weather will bring more time spent at home and a natural change in what consumers are thinking about buying.
That gives the category a different set of opportunities from those available during July, when household spending was pulled towards summer activities.
A prolonged period of warm weather could extend the lull in indoor home spending, particularly after consumers have already had several months to buy what they need for summer.
The financial backdrop means any improvement is unlikely to be indiscriminate. Higher energy bills are now part of monthly household expenditure and borrowing costs remain elevated, but homewares has an advantage over more expensive home categories because consumers can make a visible change without committing to a major purchase.
The autumn will show whether that relative affordability is enough to bring more spending back into the home once the exceptional summer begins to recede.
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CPI rose to 2.9% YoY in July, up from 2.6% in June.
Source: Retail Economics, ONS