UK clothing and footwear prices rose year-on-year for the first time in four months in February, increasing 0.9% and adding fresh pressure to households already managing elevated living costs.

The latest Office for National Statistics (ONS) Consumer Price Index shows headline inflation holding at 3.0%, while food inflation eased slightly to 3.3%.

Harvir Dhillon, economist at the British Retail Consortium (BRC), warned that the uplift in apparel prices reflects high costs “continuing to filter through,” with retail margins remaining “extremely tight.”

He added that many families still “feel the cumulative impact of previous price increases as conflict in the Middle East blocks key trading routes (with both energy and fertiliser affected” even as some categories – including chocolate and confectionery – posted month-on-month declines.

Dhillon said heightened geopolitical tensions in the Middle East are creating immediate inflation concerns for retailers and consumers. He cautioned there is a “significant risk that inflation will pick up again in the coming months.”

Rising energy and transport costs are expected to put additional pressure on operating expenses across the retail and apparel sectors.

“If commodity price increases are sustained, inflation will not fall to the 2% target this year. It is therefore important that the government does what it can to avoid adding further burdens onto businesses, to help limit the risk of higher prices, reduced investment and fewer jobs.”

The British Retail Consortium (BRC)-KPMG's Retail Sales Monitor reported that total retail sales in February 2026 increased by 1.1%, compared to 1.1% growth in February 2025 and falling below the 12-month average growth of 2.3%.

At the time Clive Black, head of consumer research at Shorecap Capital Markets, spoke of weakness in apparel and footwear, noting heavily marked-down apparel sales post-Boxing Day, contrasted with stronger momentum in health and beauty, home textiles and toys.

“We do not seek to talk ourselves into a depressed mindset, but in the space of a month or so, things have not changed for the better; the sooner matters settle in the Middle East, in this respect, the better," he added.

"UK clothing inflation climbs as Middle East turmoil threatens wider price rises" was originally created and published by Just Style, a GlobalData owned brand.

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