19 Dec 2024

UK Fashion Industry Recap 2024: Statistics and Trends

The UK fashion industry is one of the most dynamic and influential markets in the global apparel sector. With an impressive revenue forecast for 2024 and emerging trends shaping consumer behaviour, the sector remains a cornerstone of the British economy. This article delves into the statistics, trends, and key highlights that defined the UK fashion industry in 2024.

Market Overview: A Billion-Pound Industry

The UK apparel market is projected to generate a staggering £85.85 billion in revenue by the end of 2024, making it the third-largest apparel and footwear market worldwide after the United States and China. This represents a notable milestone for the industry, especially when contextualised within the broader global market. In the US, for example, the revenue forecast is £359 billion, underscoring the UK's impressive standing despite its smaller population.

A key driver of this growth is the annual compound growth rate (CAGR) of 3.41%, forecasted between 2024 and 2029. By 2029, the market volume is expected to reach 4.3 billion pieces, with a modest volume growth of 1% projected for 2025. On a per capita basis, Britons are predicted to spend £1,260 on apparel annually in 2024, with an average of 60.7 pieces per person.

Dominance of Women's Apparel

Women's apparel remains the dominant segment in the UK fashion market, commanding a market volume of £47.02 billion in 2024. This trend reflects evolving consumer preferences, with women’s fashion leading in both high-street and online sales. The focus on variety, sustainability, and affordability has further solidified this segment's top position.

Budget and Household Expenditure on Fashion

The average UK household budget is £34,886 annually, with 4% of this allocated to clothing and footwear. This translates to approximately £1,308 per household annually or £25 per week. Despite economic uncertainties, these figures illustrate a resilient consumer demand for apparel, with spending expected to grow steadily in the coming years.

Employment and Economic Contribution

The UK fashion and textile industry is not just about clothes—it’s a vital contributor to the economy, generating nearly £20 billion annually. The sector employs approximately 500,000 people, with jobs spread across manufacturing (88,000), wholesale (62,000) and retail (413,000). Notably, 90% of retail businesses in the sector are micro-enterprises, reflecting the industry's strong foundation of small and medium-sized enterprises (SMEs).

Trends Shaping the UK Fashion Landscape

The UK fashion industry is undergoing a transformation driven by sustainability, e-commerce growth, and changing consumer habits. Here are the key retail trends defining 2024:

Sustainability and Ethical Production

The demand for sustainable and ethically produced clothing is reshaping the industry. Consumers are increasingly seeking out brands that prioritise eco-friendly materials and ethical labour practices. This trend aligns with global movements towards sustainability, with many British brands stepping up to meet these expectations.

E-commerce Domination

The UK remains Europe’s leader in e-commerce turnover, with online fashion sales accounting for a 31% share of the market. Retailers such as Asos, Next, and John Lewis dominate the online fashion space, supported by a highly engaged digital consumer base. Notably, 92% of Britons shop online, with fashion e-commerce generating £37 billion in 2021—a figure that has grown further in 2024.

Popular Items

T-shirts, tops, and trainers are among the most popular items purchased online, reflecting a preference for casual and versatile clothing. Smart shoes, boots, and sandals also feature prominently in online sales, driven by seasonal trends and events.

Social Media Influence

Social media platforms, particularly Instagram and Pinterest, play a crucial role in influencing fashion trends. British consumers are increasingly turning to these platforms for inspiration and shopping recommendations, with brands leveraging targeted campaigns to engage their audiences.

The High-Street vs. Online Battle

High-street fashion continues to adapt to the pressures of e-commerce. While flagship brands like Primark, Marks & Spencer, and JD Sports remain retail staples, the industry has seen significant shifts towards online shopping, accelerated by the pandemic. Even legacy brands like Debenhams have transitioned to an online-first approach under new ownership.

Export and Import: Navigating Shifting Sands in Trade

The UK fashion sector continues to assert its presence in global trade, though recent developments have presented both opportunities and challenges. In 2020, the UK exported £8.9 billion worth of fashion and textiles, with the European Union accounting for 70% of this revenue. While these figures underscore the importance of the EU as a trading partner, the impact of Brexit and broader economic uncertainties has introduced hurdles. The decline in export numbers from £9.7 billion in 2019 reflects the pressures of navigating new trade rules and reduced market access.

On the import side, the UK brought in £19.7 billion worth of clothing in 2020, a slight dip from £20.2 billion the previous year. This figure illustrates the UK’s reliance on its globalised supply chain, with top import markets including China, Bangladesh, and Turkey. Notably, clothing imports from EU countries have seen substantial growth, doubling in value between 2008 and 2017, even amid shifting trade dynamics.

Preparing for Compliance in a Changing Regulatory Landscape

The introduction of the General Product Safety Regulation (GPSR) in the EU adds a layer of complexity to the UK’s export environment. Effective from December 2024, the GPSR modernises safety standards for consumer products sold within the EU and Northern Ireland. For UK-based fashion businesses exporting to these regions, compliance with GPSR requirements is paramount.

Garment Manufacturing: A Resurgence

Garment manufacturing in the UK has seen a resurgence, with the number of manufacturers increasing by 13% over a decade to 2020. This reversal of decades-long decline highlights a growing interest in locally produced fashion, driven by consumer demand for transparency and quality.

A Year of British Fashion Highlights

British fashion remains synonymous with creativity and luxury. Iconic brands such as Burberry, Alexander McQueen, and Vivienne Westwood continue to lead on the global stage, while emerging designers like Molly Goddard and Craig Green push the boundaries of innovation.

On the high street, brands such as Primark, River Island, and Next dominate, offering affordable and stylish options for the masses. Meanwhile, department stores like Selfridges and Harrods continue to cater to luxury shoppers, blending heritage with modernity.

Challenges and Opportunities Ahead

Despite its strengths, the UK fashion industry faces challenges, including economic pressures, shifting consumer preferences, and the impact of climate change. However, these challenges also present opportunities for innovation:

Sustainability: Brands can leverage sustainable practices to gain competitive advantage.
Digital Transformation: Continued investment in e-commerce and digital marketing will be critical.
Diversity and Inclusion: Meeting diverse consumer needs will help brands expand their reach.

Looking Ahead to 2025 and Beyond

As we look towards 2025, the UK fashion industry is poised for continued growth. The sector’s focus on sustainability, innovation, and adaptability ensures its relevance in an ever-changing global market. With revenue growth, employment opportunities, and a vibrant mix of heritage and modernity, the future of British fashion remains as exciting as ever.

The UK fashion industry in 2024 stands as a testament to its resilience, creativity, and adaptability. Whether it’s the allure of high-street staples, the glamour of luxury labels, or the convenience of e-commerce, British fashion continues to captivate audiences both at home and abroad.

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