Fortnum & Mason to rebuild European sales on hopes of new UK-EU trade deal

News
 |  
Jan 2026
 |  
Financial Times
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What: Fortnum & Mason plans to revive European exports and boost US online growth, responding to improved UK-EU trade prospects and reduced US tariffs.

Why it is important: This move demonstrates how heritage retailers are adapting to shifting trade policies and leveraging digital channels to regain international growth, as seen in recent industry developments.

Fortnum & Mason is taking decisive steps to rebuild its European sales and expand its online presence in the US, following years of disruption caused by Brexit and shifting international trade policies. The company halted sales to the EU due to increased export costs and bureaucracy, which impacted its revenue, but now sees renewed opportunity as the UK and EU work toward a more favorable trade agreement. This optimism is driving new investment in Fortnum’s European business, with the retailer confident that demand for its quintessentially British products remains strong. In the US, the easing of tariffs and the removal of certain trade barriers have encouraged Fortnum & Mason to focus on digital growth, capitalising on a large market of tea drinkers and leveraging online channels to reach American consumers. Despite recent challenges, including the closure of its Hong Kong branch and earlier setbacks from US trade wars, Fortnum & Mason has demonstrated resilience, reporting increased revenues and profits, and drawing customers to its flagship London store with innovative retail experiences.

IADS Notes: In January 2026, WWD reported that Britain’s marquee retailers, including Fortnum & Mason, are adapting to economic pressures and the loss of international shoppers by focusing on local engagement and innovative retail formats. The closure of Fortnum & Mason’s Hong Kong branch, covered by the South China Morning Post in January 2026, illustrates how luxury retailers are reassessing their physical presence in Asia amid changing consumer behaviours. Fortnum & Mason’s exploration of UK expansion, as noted by Retail Week in June 2025, and its rapid delivery partnership in March 2025, highlight the brand’s commitment to digital innovation and market adaptation. Additionally, Internet Retailing in August 2025 documented the widespread impact of tariffs on UK retailers, reinforcing the importance of Fortnum & Mason’s strategic pivot toward digital channels and resilient growth.

Fortnum & Mason to rebuild European sales on hopes of new UK-EU trade deal