
The hair and beauty industry rebounded strongly after the pandemic, but conditions have become more difficult throughout 2025 and into 2026.
Cost-of-living challenges in the UK continue to be a problem. People have less money to spend on hair and beauty treatments, leading to a drop in the industry’s value and their contribution to the UK job market.
Business owners have faced other economic problems: rising wages, higher national insurance contributions, increasing business rates, and utility costs.
These problems aren’t unique to the hair and beauty industry. But, they do paint a picture of a resilient and historically strong post-pandemic business model starting to struggle under the weight of worldwide economic strains.
Despite all this, the British Beauty Council is optimistic. They’re projecting growth in 2026 and for the industry to remain an important part of the UK economy.
With all that said, here’s an overview of the latest hair and beauty industry statistics for the UK.
All beauty statistics quoted are the most up-to-date available at the time of publishing.
Insurance for hair and beauty therapists is one way of protecting your business against economic uncertainty. Take a look at how we can support you with advice and guidance on what you need.
The UK hair and beauty industry at a glance
- According to the Office for National Statistics (ONS), there were 50,400 hairdressing and beauty salons operating in the UK in 2025. It’s important to note this doesn’t include sole traders.
- The hair and beauty industry is largely represented by small businesses. The National Hair & Beauty Federation (NHBF) reported in 2024 that 80% of businesses employ fewer than five people, while 95% employ fewer than ten people.
- 58% of people working in the beauty and hairdressing industry are self-employed.
- In 2025, total employment in the industry fell by 2.8%, with direct employment falling by 2.1%.
- Over 80% of the beauty industry workforce is female, with 85% of beauty businesses being female-owned.
The UK hair and beauty market in 2026
The UK beauty and personal care industry contributed £28.3 billion to the UK economy in 2025. This was a drop of 0.2% compared to 2024.
Looking at hairdressing and beauty therapy closer, they contributed £5.7 billion of this figure.
Around two-thirds of PAYE-registered hairdressing and beauty businesses had a turnover of less than £100,000 in 2025. Only 170 made over £1 million.
This ties in with an April 2025 survey by the NHBF. 40% of surveyed hair and beauty businesses said they were making a profit. 39% said they were breaking even, and 21% were making a loss.
Turning to consumer spending, a Statista report reported that in the fourth quarter of 2023, consumers in the UK spent £2 billion in hairdressers and personal grooming salons. A 2025 report confirmed that year-on-year spending has increased from this 2023 figure.
UK hair and beauty salon statistics
Over 1,000 new beauty salons and nail bars opened in 2024, showing a faster growth rate than traditional hairdressers. That could suggest consumers are looking to have more services under one roof, rather than having to go to different places.
Despite encouraging growth numbers, beauty salons are also struggling with recent cost pressures. 72% said they planned to raise prices in 2026, 47% have paused hiring plans, and 26% have had to cut staff hours.
They’re also struggling with thinning profit margins, averaging at around 8.2%, and wage bills have increasing by 5.8%. Salons that can’t adapt to these challenges might struggle to stay afloat.
Recruitment is also proving to be difficult. The NHBF’s autumn 2025 survey found that 75% of respondents were finding it more challenging to find and keep skilled staff.
It’s not all doom and gloom, though. Social media is continuing to be a driving force behind business growth for beauty salons. Engagement rates on the platform for the beauty category are at 3.9%, compared to the average of around 0.5%. Whito highlighted in their report that good video content on Instagram is proving to be one of the strongest ways for UK salons to convert followers to bookings.
Taking a closer look at the ONS’s figures, we can see the top three areas for registered hairdressing and beauty businesses are Birmingham (835), Glasgow (640), and Leeds (615).
Hair and beauty industry demographics
The British Beauty Council’s 2026 Value of Beauty Report shows that the wider beauty and personal care industry supported more than 595,000 jobs in 2025.
Drilling down into the hair and beauty services industry, the latest figures from 2024 put it at around 266,000 people. However, this has likely fallen since then, as highlighted by the British Beauty Council.
According to the Office for National Statistics, there were 50,400 beauty and hairdressing businesses operating in the UK in March 2025.
The geographical breakdown went like this:
North East – 2,150
North West – 5,950
Yorkshire and the Humber – 3,945
East Midlands – 3,290
West Midlands – 4,240
East – 4,475
London – 9,215
South East – 6,310
South West – 3,370
Wales – 2,135
Scotland – 3,940
Northern Ireland – 1,380
Hairdresser industry statistics
In 2024, there were around 121,500 hairdressers and barbers working in the UK. The NHBF reported that 60.5% of people working in hairdressing and barbering in 2023 were self-employed.
The median gross annual pay for full-time hairdressers in the UK is £24,279, according to the ONS’s Annual Survey of Hours and Earnings (ASHE).
The number or hair salons on the high street was declining in 2023, with 414 salons closing in the first half of the year alone. The NHBF’s April 2025 survey found a decline in hairdressers and combined hair-and-beauty salons was still ongoing. However, they did state that the number of barbers, beauty salons, and nail bars was growing.
Hair and beauty insurance (for when things get ugly)
Anyone running their own hair or beauty business needs to think about getting the right insurance protection.
If things go wrong when providing a treatment, a client could make a claim against your business for negligence or accidental bodily injury. That’s when you need treatment and public liability insurance. It pays your legal costs and any compensation due too.
You’re covered whether your work is salon-based or you go out and about visiting clients. Plus, there’s your kit to think about. As well as potential claims from clients who’ve slipped, tripped, or had some other sort of mishap that’s caused them an injury or damage to their property.
There’s more advice and info on our hairdressers’ insurance, beauty therapist insurance, and nail technicians' insurance pages. Or you can call us on 0345 216 0027.
Image used under license from iStock.
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