Pocket money toys are seeing a surge in sales as parents and ‘kids’ hunt for cheap entertainment
Sales of “pocket money” toys under £10 soared last year, as cost-conscious parents and older collectors turned to cheaper playsets and miniatures to cope with tough economic conditions.
According to new data from market research firm Cirana, UK toy sales are set to fall by 3.7 per cent to £3.4 billion by 2024, yet low-priced items are performing strongly, with 80 per cent of all toys sold costing less than £ 15 and about 30 percent less. £10.
The best-selling toy for the second year running was the Squishmallows plush range, often priced under £9, showing how affordability has helped to boost certain brands. Melissa Symonds, executive director of UK toys at Circana, says families have cut back on impulse purchases after years of rising living costs, driving demand for “cool toys and collectables” over more expensive options.
Worse, a growing group of older toy lovers—known as ‘kids’, aged 12 and over—now account for around 30 per cent of UK toy sales. Their willingness to spend on more expensive building sets, especially Lego-developed or licensed categories, helped offset some of the decline in revenue. Sales of building sets rose 6 percent, helped by Lego’s Botanics range of flower-themed sets, which appeal to a growing adult population.
Across the board, demand for collectible toys continues unabated. One in five toys sold in 2024 were collectables, with average prices at £7.59. Products like Funko Pop! and Sylvanian Families have tapped into the Britons’ love of putting together entire sets, while licensed lines from hit films and TV series—such as Despicable Me and Bluey—are also on the rise.
Kerri Atherton, head of public affairs at the British Toy & Hobby Association, highlights the rise of “miniatures”—toys less than 5cm tall—driven by the popularity of Lego miniatures and Funko’s Bitty Pop! width. “We’ve seen a lot of interest in these small toys that deliver both a high ‘cool factor’ and a low price,” he said, noting an 18 percent increase in sales of small collectibles.
Despite a flurry of sales in late December, the UK toy market posted its fourth consecutive annual decline, reflecting a wider decline in retail sales volumes. Official data from the Office for National Statistics showed a 0.3 percent month-on-month fall in December, a key shopping period.
“These figures are undoubtedly influenced by the unstable economic environment,” said Atherton, stressing that inflationary pressures and cost-of-living challenges have increased in discretionary categories such as toys. However, strong performance in the budget and collectibles categories suggests that when it comes to gaming time, British consumers are downsizing rather than out.
