UK beauty spending continues strong growth as consumer priorities shift

The UK pharmacy, health and beauty sector has recorded sustained growth over the past five years, according to Barclays Consumer Spend data.

The category has seen consecutive year-on-year increases in consumer spending for approximately 60 months, suggesting a prolonged period of expansion.

Since April 2021, health and beauty spending has consistently outpaced broader UK retail trends, reflecting changing consumer priorities and growing demand for wellbeing-related products and services.

In 2025, UK consumer spending in the health and beauty category rose by 10.7% year-on-year, following a 7.1% increase in 2024 compared with the previous year. Barclays data also indicates that the average consumer spent around £328 annually on beauty-related products.

More broadly, global beauty sales increased by around 10% over the past year, while approximately 20% of consumers report that they expect to increase their spending on beauty in 2026.

Consumer attitudes continue to evolve alongside this growth. In 2026, 53% of consumers say they are placing greater emphasis on their wellbeing.

This shift is associated with rising interest in longevity, science-led formulations, holistic approaches to skincare and simplified routines often referred to as “skinimalism”.

Much of this has resulted in a sharp increase in use of products that support longevity and health. Collagen is in "huge" growth, with Boots showing a rise of 62% in sales year-on-year.

Technology is also playing an increasing role in the sector. The adoption of beauty tech is growing, while artificial intelligence is enabling more personalised product recommendations and more data-driven customer experiences.

Barclays Consumer Spend data shows that average annual spending on wearable technology is £136.80, while spending on beauty-specific technology averages £97.80. Around one in 20 consumers also report plans to invest in beauty tech over the next 12 months.

At the same time, social commerce platforms such as TikTok Shop are gaining share within the beauty market. In 2025, TikTok Shop became the UK’s fourth-largest beauty retailer, recording 60% year-on-year growth.

Many digital brands are also taking a selective approach to physical retail, using stores more flexibly for short-term, experiential or strategic purposes rather than large-scale permanent expansion.

"If you look at the UK retail landscape in 2026, you will find a sector in a state of flux. Consumer behaviour is changing, and for the most part, shoppers have been focused on how to keep their money in their pockets – or at least how to make it go further," said Isabella Clough and Melissa Pendlebury, Co-Heads of Beauty & Fashion at Barclays UK Corporate Bank.

"Both essential and non-essential spending are squeezed, and consumers are intent on building up their own personal savings buffers. But consumers have made an exception, and a long-standing exception, for one area. Spending on health and beauty.

"The question is now: how can the sector maintain its consistent growth? And what are the trends we’ll see beauty brands capitalise on over the next year, to help keep customers happy, or win over new ones?"

Image credit: Boots