International real estate advisor Savills has revealed that sales of Fashion Services including alterations, repairs and dry cleaning, grew faster than any other product category between Q4 2024 and Q3 2025 across the UK, highlighting a clear shift towards value and sustainability.
Fashion Services were the fastest growing category, with per person spend up 18% and transactions rising 1.2% year-on-year. It was the only category to record transactional growth and posted the largest increase in face-to-face spending at 16%, far outstripping the next biggest growth area, Home & Garden, which saw just 3% growth. Savills states that this trend points to a growing “recycle economy”, as shoppers choose to refresh existing wardrobes rather than buying new.
General Retail, which includes used merchandise, showed positive signs. Online spend in this category jumped 51%, reinforcing the shift towards second-hand and sustainable shopping.
Nicole de Blaquière, director, in town retail at Savills, adds: “Fashion is evolving beyond product sales into services that keep customers coming back. We’re seeing major brands like Levi’s, Uniqlo, Arket and Marks & Spencer integrate repair and alteration into their offer, often partnering with specialist brands such as SOJO and The Seam to deliver these circular solutions. For landlords, this signals a clear opportunity: fashion services aren’t just sustainable, they drive repeat visits, increase dwell time and strengthen tenant mix.”
Savills analysis indicates that discretionary spending continues to face significant pressure, with overall travel expenditure declining by 7% amid reduced trip volumes. The travel category encompasses a broad range of sub-sectors, including airlines, buses, hotels, travel agencies and fuel; however, the sharpest declines were seen in fuel and passenger rail, with the latter potentially benefiting from the forthcoming fare freeze. Travel agencies experienced three consecutive quarters of decline before showing a clear recovery in Q3 2025.
Department Stores reported the steepest decline with spending down 20%, while automotive expenditure also fell, with face-to-face transactions down 9% and online spending down 10%, set against the backdrop of the largest drop in UK car production in 73 years.
Stephen Toal, UK head of retail & leisure insights, Savills property management, comments: “The data paints a picture of cautious consumers prioritising value and repair over big-ticket purchases. This reflects the broader macroeconomic environment we currently face. Shoppers are hesitant to spend, with personal finances under strain and uncertainty around the UK Budget announced last week impacting confidence. On a positive note, it’s encouraging to see the circular economy benefiting from this caution, driving more sustainable behaviours. We expect confidence to return in the months following the Budget as consumer sentiment improves.”
