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Tue, 01 Sep 2026

Tue, 01 Sep 2026 Ikea cuts prices as customers struggle with rising cost of living

The Swedish retailer has seen revenue decline as the rising cost of living reduces people's ability to buy new furniture.

* Ikea is cutting prices on hundreds of products across Europe by up to 28% to help customers struggling with cost-of-living pressures.
* The company is spending €1.2bn (£1bn) on the price cuts, which will apply to items such as the Billy bookcase and Kallax storage units.
* Ingka, the franchisee that operates most of Ikea's European stores, says the cuts are not a short-term campaign but a long-term effort to make Ikea more affordable for customers.
* The company has reduced its prices several times in recent years, which has had an impact on its revenue and profit.
* Ikea is also trying to attract new customers by opening smaller stores in central areas, such as London's Oxford Street and Brighton's Churchill Square.
* The price cuts will vary slightly by country, but British customers can expect discounts such as the Kallax shelving unit going from £60 to £49 and the Billy bookcase being cut by £10 to £25.