UK brands ride the waves as value swells to $321bn

The UK’s biggest brands are growing faster than their global rivals for the first time in nearly a decade, hitting a record valuation of $321.2bn (£243.4bn), with 49 of the UK’s top 75 brands gaining in value despite sluggish GDP growth and ongoing cost of living challenges for households.

Kantar’s 2026 BrandZ Most Valuable UK Brands ranking, comes as the Chancellor prepares to deliver his first Budget on October 28 and set out his plans to kickstart the economy.

In line with the UK’s longstanding strength in service industries, financial services brands are the driving force behind the growth, with banks including Barclays and Lloyds now making up more than one third of the ranking’s overall value.

By comparison, telecoms and retail have lost some ground. They now contribute 17% and 9% respectively, down from 25% and 14% five years ago.

HSBC (pictured) remains the UK’s most valuable brand, while all the top 10 fastest growing brands are from the financial services sector. Revolut achieved the greatest year-on-year gains as it continues to underscore the services and experience which set it apart, most recently in its ‘Can your bank keep up with your business?’ campaign.

Looking beyond financial services, Sainsbury’s brand value increased 19%, while Tesco maintained its place as the most valuable grocer, having grown by 15%.

Meanwhile, British Airways’ brand value rose by 16% as its investment in customer experience helped to reflect its premium positioning and Next’s brand value was up by 17% year on year, pipping the growth of Marks & Spencer (7%) and Very (1%).

Finally, the KitKat brand grew by 21%, boosted by its partnership with Formula 1, using fan experiences, social content and product innovation to reach new audiences, while Costa Coffee was the only quick-service food and drink brand to make the ranking, up by 14%.

Despite the positive results this year, Kantar cautions that UK brand growth could stutter in the long run, as head of brand intelligence Jodie Gillary explained: “It’s fantastic to see the upward movement in the numbers but there’s a risk this could be more of a short-term bounce than a long-term boom.

“Our analysis of brands’ equity suggests that many haven’t yet built the momentum they need to sustain demand in today’s low-growth economy, and that’s a concern for boardrooms.”

Kantar’s assessment indicates that, to maintain a positive trajectory, UK brands must invest in building their relevance in consumers’ changing lives.

Gillary continued: “For a long time the emphasis in the marketing industry has been on differentiation. That’s clearly important, but being distinctive isn’t enough on its own. The big growth opportunity on the table is in forming emotional connections with customers, meeting their needs and fitting better into their changing lifestyles – in a way that other brands can’t. In the past six years, the businesses which have significantly improved perceptions of how relevant and meaningful they are grew their value by a whopping 140%.

“Consumers’ use of AI is making this even more obvious because we typically search for brands based on specific ideas and requirements of what we’re looking for. If a business’ relevance isn’t clear, then LLMs won’t mention it and a sale won’t happen.

“One of the most effective ways the top brands are doing this and creating emotional connection is through investing in their cultural relevance, for example building fandoms and communities and offering immersive experiences. To win with both bots and humans, brands have to get involved in a way that feels natural and authentic – anything forced will seem like bandwagon-jumping.”

UK brands ride the waves as value swells to $321bn

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