UK Furniture & Flooring Industry Report summary
July 2021
Period covered: Period covered: 30 May – 03 July 2021
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. Subscribe to access this data or take out a free 30 day subscription trial now.
Furniture & Flooring sales climbed 00% YoY. Sales were up a staggering 00% on June 2019.
Many consumers have involuntarily found themselves in a stronger financial position to last year, which in recent months has coincided with: restrictions easing (including furniture stores opening), a flurry of house moves, improving confidence with the vaccine rollout, and little prospect of spending abroad on holidays as travel remains limited.
Households have recognised the buoyant market as a good time to sell up and move home, incentivised by a reduction in stamp duty. Covid-19 triggered changes in lifestyles, with more need for space both indoors and outside.
Over the past year, inflation has not been an issue during periods of hefty Covid restrictions. But as normality returns, the rate of price increases is now above the Bank of England’s 2% CPI target.
Retail Economics forecasts furniture and flooring sales to rebound over 2021, growing by 00% YoY, to reach £14.1bn. This follows a 9.3% decline in 2020.
Greater discretionary spending power from less commuting and cancelled holidays since the pandemic began will support demand. Also, the extension of the stamp duty holiday until 30 June 2021 should provide a sales boost from new home owners.
Retail Economics forecasts Online Furniture & Flooring sales to fall by 00% YoY in 2021, with the online penetration rate projected to come in at 28.1% of total sales.
Living room furniture accounts for 00% of the Furniture and Flooring market.
ScS has upgraded its full year performance for the year to 31 July. The furniture retailer said that orders stood at £116.6m as of 12 June – 50% higher than a year ago.
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House prices cool as stamp duty break unwind
Source: Source: Nationwide, Halifax
