Despite a challenging economic environment, the UK toy market has seen a surge in demand for budget-friendly playthings. The trend towards smaller, more affordable toys is capturing the hearts of both children and adults alike. As families tighten their belts due to rising living costs, parents are opting for cheaper alternatives that still provide entertainment value. Last year, nearly 80% of toys sold in the UK were priced under £15, with these economical options accounting for approximately half of all sales. Squishmallows, a soft plush toy priced just under £9, emerged as the top-selling item for the second consecutive year. This shift reflects a growing consumer preference for value-driven purchases, especially in times of financial uncertainty.

In addition to traditional toys, there has been a notable rise in collectibles, particularly among older buyers known as "kidults." These enthusiasts, aged 12 and above, now represent almost 30% of the toy-buying demographic. They have fueled the popularity of sophisticated building sets like Lego, which saw a 6% increase in sales. The Botanics range by Lego, featuring intricate floral designs, has attracted many adult collectors, especially women. Moreover, licensed merchandise tied to beloved characters from films and TV shows, such as Lilo & Stitch and Despicable Me, continues to draw interest. Micro collectibles, or miniature toys under 5cm tall, have also gained traction, with a significant 18% increase in sales. These tiny treasures offer charm and affordability, making them irresistible to collectors.

This new wave of miniature collectibles underscores a broader trend toward cost-conscious consumption. Even though the overall toy market experienced a decline of 3.7% in 2024, certain segments remain resilient. The emergence of micro collectibles and the enduring appeal of affordable plush toys highlight the adaptability of the toy industry. As consumers continue to navigate economic challenges, they seek out products that deliver joy without breaking the bank. This focus on value and collectibility not only sustains the toy market but also fosters a sense of community and shared passion among collectors, young and old.