Primark’s UK sales have declined as shoppers increasingly shift towards cheap online retailers such as Shein and Temu. With rising living costs pushing high-street prices up, many consumers now favour digital platforms offering lower prices, constant discounts and rapid delivery – benefits Primark cannot fully match due to its limited online presence. The retailer’s profits fell by 13% to £1.4bn this year, highlighting its growing vulnerability in an increasingly digital marketplace.

Chief executive George Weston remained cautiously optimistic about 2026 but emphasised that performance depended heavily on the wider “consumer environment,” which he described as “particularly unpredictable.” Although Primark has expanded to 476 stores across 18 countries, its physical scale alone is no longer enough to offset the rapid shift in consumer behaviour.

This challenge may deepen further as Chancellor Rachel Reeves is expected to raise taxes in the upcoming budget, placing additional pressure on household finances. With disposable incomes squeezed, shoppers may become even more inclined to choose the lowest-cost online options. For Primark, the issue is no longer just high-street competition but its limited ability to compete in the fast-moving online fashion economy, where digital-first brands increasingly dominate.

by Jazmin young