I recently sat in on a Mintel webinar looking at the financial mindset and spending trends of British consumers over the last few years.

Set against the rather bleak context of a struggling economy, inflation remains stubborn, not quite dropping to the Bank of England’s 2% target. Whereas most consumers were once confident with their financial status – partly due to Covid-19 as opportunities to spend declined, today’s environment sees the majority of Brits either ‘getting by’ or feeling the pinch. It’s not all doom and gloom though, as these results are an improvement on 2024, but consumers are exercising caution.

The good news is consumer expenditure is expected to rise over the next five years, however, cost-saving behaviours like shopping around, category trade-offs and visiting discount retailers will remain the norm, so big brands will need to prove their value.

And yet, some areas of the market have been, or are expected to see growth! So, what are consumers spending their hard-earned money on?

Read on for a quick summary:

  • Beauty and personal care continue to see growth. Consumers are prioritising health and wellbeing, and social media is driving discovery of brands that can help support this. Also on the rise, non-alcoholic drinks.
  • Holidays also remain a priority – Brits want experiences! (Not a new concept, as competitive socialising has soared in the hospitality industry over the last year).
  • Good news for the hospitality industry, foodservice is expected to see growth from 2025-9.
  • A huge percent of consumers would consider this period of time to be a ‘permacrisis’. War, political drama across the globe has driven general uncertainty and we may prefer to focus on our personal lives.
  • We’re turning into a nation of savers – in other words, preferring not to spend our money when we can help it. To counter this, brands need to tap into a rebellion mindset!
  • Gen Zs as well as other age groups will prioritise longevity of products or long-term value.
  • Unsurprisingly, younger consumers are more adventurous and willing to try new things – from different foods to skincare.
  • Brands do offer a sense of security – especially for those who want what they know.
  • Brits are opting for nights-in, rather than nights-out. But, when we are going out, it’s no longer the traditional drink-led approach.

A Digital World

There’s a growing importance in the value of community, although this no longer has to be face-to-face. Indeed, Brits consider people they meet online to be part of their social circle. In fact, this can influence not only the brands they use, but political views too.

Traditional social circles continue to be important, and if we take a deep dive into age, Gen Z and Baby Boomers are both two likely groups who make friends through hobbies!

Socialising will remain important across all age groups.

Brands who leverage community can improve consumer attachment, maintain loyalty as well as develop lifelong ambassadors through organic means – whether through brand trips, online hubs to share exclusive news or bespoke radio stations.

The overarching takeaway. Authenticity matters.

How can brands align with British attitudes?

  • Consumers were asked for their highlights of British history over the last 25 years. Sporting success and the 2012 Olympics topped the list. Consumers see athletes as good role models, and aspirational – so sportspeople hold strong potential for attractive brand collaborations.
  • Blend heritage with modern twists to appeal to all age groups – and attract those more open to multi-culturalism.
  • Real people and real moments, we want campaigns that resonate with everyday life.

Hopefully you have found this snapshot of the Mintel report interesting. If you’d like a deeper dive you can visit https://store.mintel.com/report/uk-british-lifestyles-market-report where you can purchase the full report.

For more insights across consumer, foodservice, retail and convenience visit our jellybrain section here.

Caitlin Hynd
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