NEXT’s UK sales growth slows to 2% as international sales jump 32%

A warm September pushed NEXT’s UK sales into decline for three weeks running, before demand bounced back through October.

NEXT’s third-quarter trading statement covers the 13 weeks to 31st October 2026. It shows UK full price sales up 2.0%, in line with guidance but slower than the 3.6% growth achieved in the first half. Group full price sales rose 8.1%, £33m ahead of guidance, with all of that outperformance coming from overseas. For suppliers, the update is another read on how the weather is shaping autumn spending. It also flags new EU costs on cross-border online orders.

A volatile UK quarter

NEXT said UK growth was volatile, with unseasonably warm weather hurting September sales. Its weekly data shows UK full price sales falling in the three weeks from 13 September, by as much as 5.2%. Sales then returned to growth of between 2.3% and 5.9% each week through October. The pattern is similar to Dunelm’s, which reported a c.3% fall in sales during the exceptionally warm first six weeks of its quarter in its 15 October update.

UK online sales rose 4.4%, slowing from 7.4% in the first half, while retail store sales fell 1.7%. Within online, sales of third-party brands rose 4.0%, down from 9.5% in the first half. Wholly-owned brands and licences grew 18.9%. The statement does not break out Home or other product categories.

International and EU tariffs

International online sales grew 32.2%, well ahead of NEXT’s 20.5% forecast. The retailer said its marketing proved more profitable than expected, so it raised marketing spend by 67%.

NEXT also highlighted new EU tariffs, introduced from 1 July and 1 November 2026. They add costs to online orders placed in the EU when the stock used to fulfil them was imported from outside the EU. NEXT holds significant stock within the EU through its partner ZEOS, but some orders are fulfilled from UK stock. It expects a net cost of around £5m this year. That cost offsets the extra profit from its international outperformance. Over time, it aims to fully mitigate the tariffs through operational changes and selective, modest EU price increases.

Outlook

NEXT expects Q4 full price sales to rise 5.8%, with UK growth of 2.0%, in line with Q3. International growth is expected to moderate. Full-year profit guidance is unchanged at £1,255m, up 8.4%. NEXT’s Christmas trading statement is due on 6 January 2027.

What does this tell suppliers?

• Weather is shaping autumn demand. NEXT is the second major retailer this autumn to cite warm weather as a drag on September sales. In both cases, growth returned later in the period.

• UK spending growth is modest. NEXT is planning for 2% UK growth in Q4, with no acceleration into peak.

• Cross-border ecommerce costs are rising. The new EU tariffs apply to online orders fulfilled with stock imported from outside the EU. This is relevant to any supplier serving EU consumers online from UK stock.

• Third-party brand growth is slowing on NEXT’s platform. Brands selling through NEXT online saw growth halve compared with the first half.