What you need to know
Spending on living and dining room furniture grew by an estimated 4.6% to £8.49 billion in 2019. Consumer confidence has remained fairly strong since the turn of 2019, sustaining uptake across the market. Despite wider uncertainty, the things that affect people on a daily basis are fairly stable. Unemployment remains at a decades-long low and wages are rising above inflation, driving spending power, while the number of households in the UK continues to grow, buoying demand.
However, the rate of this growth narrowed for the second year, as the market was subdued by confusion among some consumers, which has seen caution relating to major financial commitments. Housing transactions cooled down relatively again in 2018, the first time this has not increased since the wake of the economic crisis in 2009. This trend has continued moving in 2019. If this cooldown is not reversed in 2020, then furniture demand could drop as it is less compensated by higher levels of activity prior to 2016.
The year ahead is one of caution; as the UK approaches the rearranged 31 October, 2019 exit date, and a potential general election, it will be interesting to see how much longer consumer confidence can overcome the wider uncertainty. Moreover, the shape of demand is changing, with consumers expecting more from their furniture as the living and dining room is viewed as an increasingly multipurpose space, while online channels are set to consolidate, further intensifying pressure on traditional store-based operators in the coming years.
Products covered in this Report
This Report covers the following types of furniture:
-
Upholstery (sofas and other upholstered chairs)
-
Dining tables and chairs
-
Shelving and storage for the living and dining rooms, such as shelves, wall units, display units, sideboards and drawers
-
Occasional furniture for the living room such as coffee tables and lamp tables
-
Home office furniture, such as computer desks, office shelving and drawers.
This Report does not cover any furniture sold on contract for the non-domestic market (such as hotels, student accommodation and hospitals) and excludes second-hand and antique furniture. Other specialist sectors not included in the scope of this Report are nursery furniture (ie cots, cribs and cot mattresses, a sector covered in Baby and Nursery and Baby Equipment Retailing – UK, February 2018), and we exclude garden furniture (see Garden Products Retailing – UK, June 2019).
