Across Britain, besides being a month of worship, spiritual reflection, and community for Muslims, it is a significant period of economic activity.
From the weekly grocery shop to preparing an iftar for family and friends, buying Eid clothes and gifts, making charitable donations, travelling to see relatives and supporting local businesses, Ramadan changes the way millions of people spend, give and connect.
So, how much is Ramadan actually worth in Britain?
When we look specifically at consumer retail spending, Equi’s 2025 research estimated between £428 million and £642 million across food and drink, Ramadan and Eid clothing, gifts, Eidi, travel and other Ramadan-related purchases. The 2026 research uses approximately £640 million as the retail spending estimate, which gives us a useful picture of the scale of Ramadan in modern Britain.
Ramadan is a month of spiritual reflection and worship. It is also a time when ordinary routines change. Households plan meals differently. Families buy more food for iftar. People invite relatives and friends to eat together. Communities organise events. Charities see increased giving. Retailers promote Ramadan and Eid collections. Families purchase clothing and gifts. Some travel to visit relatives or spend Eid with family.
These activities are deeply personal, but collectively they create a sizeable economic footprint.
Equi's 2025 report estimated that Ramadan-related activity contributed between £830 million and £1.3 billion to the UK economy.
Its estimate included:
£428 million to £642 million in consumer retail spending
£5 million to £25 million in retail marketing spending
£159 million to £274 million in business and supply-chain investment
£238 million to £359 million through charity and social cohesion activity
These figures should not be added together as separate consumer spending categories. They describe different parts of the wider Ramadan economy.
The important takeaway is simpler: Ramadan has become a substantial economic moment in Britain, and consumer spending is only one part of it.
The Ramadan economy is not created by consumers alone
There is another side to the numbers that is easy to overlook.
Consumer spending does not happen in isolation. It depends on the businesses, retailers, restaurants, travel companies, charities, platforms and service providers that make products and experiences available in the first place.
A family may spend more on groceries during Ramadan, but they may also order an iftar from a halal restaurant, visit a food market, use a catering service or buy prepared meals.
A family buying Eid clothing creates retail revenue, but the retailer has also invested in stock, staff, photography, logistics, technology and marketing to make those products available.
Someone travelling for Eid may create revenue for an airline, hotel, travel agency, transport provider and restaurant. Those businesses have their own costs and investments in serving that demand.
Charities invest in fundraising campaigns, communications, digital platforms, payment systems, staff and outreach so that people can donate during Ramadan. This creates a cycle of economic activity.
Consumer demand creates an opportunity for businesses. Businesses respond by creating products, services and experiences. Those businesses then invest in reaching consumers, making the next transaction possible.
That is why the Ramadan economy should not be understood simply as the amount sitting in a Muslim household's shopping basket. It is an ecosystem.
Mainstream brands have already recognised the opportunity
Ramadan is no longer an occasion that only Muslim-owned businesses or Muslim-focused brands pay attention to. Major mainstream businesses have increasingly recognised that Ramadan represents a meaningful commercial opportunity in Britain and beyond.
IKEA is one example. Its UK operation has created Ramadan-focused content and a dedicated GOKVÄLLÅ collection, positioning products around iftar, hosting, dining and the home during Ramadan.
This is significant because a global mainstream retailer responding to the needs and habits of a sizeable consumer audience. The same broader shift can be seen across supermarkets, food and beverage, fashion, beauty, hospitality, travel and other sectors.
For marketers, the lesson is straightforward. Ramadan has moved into the mainstream commercial calendar. Brands do not need to be Muslim-owned to benefit from Ramadan. They need to understand when Muslim consumers are making decisions, what those consumers value and how their products or services can genuinely fit into that period.
The opportunity is therefore much larger than a collection of Muslim brands selling to Muslim consumers. It is a mainstream market opportunity.
Where does the spending happen?
Food and groceries are one of the clearest examples.
Equi estimates that supermarkets alone generate approximately £228 million to £342 million in Ramadan sales. That includes the everyday products that become particularly important during the month: dates, fruit, vegetables, rice, meat, drinks, snacks, desserts and ingredients used for traditional meals.
But Ramadan shopping is not limited to supermarkets. Independent halal retailers, local food businesses, restaurants, online shops and other businesses all participate in the seasonal increase in demand.
For households, these purchases are simply part of preparing for Ramadan.
For retailers and service providers, they represent a recurring period of increased consumer activity.
A Ramadan shopper is not necessarily looking for a special "Ramadan product." They are often buying the same products they purchase throughout the year, but in different quantities, for different occasions and with different priorities.
At the same time, businesses are creating new reasons to spend. A halal restaurant can turn an evening meal into an iftar experience. A supermarket can make Ramadan products easier to discover. A fashion retailer can build an Eid collection. A travel agency can package journeys around Eid or other religious travel. A charity can make giving easier through a dedicated Ramadan campaign.
The consumer creates demand, but the availability of relevant products and services helps shape where that demand goes. That makes Ramadan an interesting opportunity for brands that want to understand Muslim consumers without reducing them to a single demographic stereotype.
Charity is another major part of the Ramadan economy
Spending is only one side of the story.
Giving is central to Ramadan, with Muslims around the world increasing their charitable activity through zakat, sadaqah and other forms of support.
The UK Charity Commission recognised this in its February 2026 Ramadan message, noting that millions of pounds are donated during Ramadan every year and highlighting the role this giving plays in supporting people locally, nationally and internationally.
Equi's 2026 research estimates that approximately £350 million of Ramadan's wider economic activity comes from charitable and community activity. That includes donations, volunteering, community events and initiatives such as iftars. This is an important part of understanding Ramadan in Britain because the month cannot be reduced to a shopping season. The spending, giving and community activity happen alongside one another.
Then comes Eid
Ramadan itself lasts around a month, but the economic activity does not simply stop when the final fast ends. Eid al-Fitr brings another wave of activity.
Families may purchase new clothes, prepare meals, exchange gifts and give Eidi to children. Some travel to visit relatives. Others attend Eid gatherings or spend the day in their local communities.
Equi's research places clothing, gifts and travel together within an estimated £200 million to £300 million of spending. This is why looking only at grocery spending would miss a significant part of the picture.
Ramadan and Eid create a wider period of activity that touches food, retail, fashion, travel, hospitality, charitable organisations and local communities.
What does this mean for brands?
British Muslims are not one homogenous consumer group. They come from different ethnicities, generations and cultural backgrounds, and their Ramadan experiences can look very different. Yet there are clear patterns.
Food becomes more central to family and community life. Giving becomes more prominent. Eid creates demand for clothing and gifts. Travel becomes relevant for some households. Brands become more visible during a month when consumers are actively paying attention to businesses that understand the occasion.
Most importantly, the opportunity does not stop at consumer products.
Businesses that provide services to Muslim consumers are part of the same ecosystem. Halal restaurants, caterers, travel agencies, hospitality businesses, local retailers, digital services and charities all have a role in making Ramadan experiences possible.
Good Ramadan marketing does not need to be complicated. It needs to understand the audience, respect the occasion and offer something genuinely useful or meaningful.
The opportunity is growing
Equi's latest 2026 research estimates the overall Ramadan economy at approximately £1.3 billion annually and says this figure is expected to continue growing as the Muslim population increases. The same research estimates around £640 million in retail spending and approximately £350 million in charitable and community activity.
Equi also acknowledges that more research is needed to fully understand Muslim spending patterns.
The £1.3 billion figure should not be treated as a precise annual receipt showing exactly what every British Muslim household spent during Ramadan. It is an estimate of the wider economic activity associated with the month.
Ramadan and Eid have become established parts of Britain's consumer, community and cultural landscape. Brands looking to reach Muslim audiences in Britain, understanding Ramadan means looking beyond a single campaign or a single product.
How much British Muslims spend during Ramadan
There is no single audited figure showing exactly how much British Muslims spent across every Ramadan-related category in 2025. The most credible available research gives us an estimated range rather than a final national spending receipt.
What we do know is that:
~£428m to £642m
Estimated Ramadan-related consumer retail spending in Britain.
~£640m
Retail spending estimate used in Equi's 2026 research.
~£350m
Estimated charitable and community activity associated with Ramadan.
Up to £1.3bn
Estimated wider annual economic impact of Ramadan in Britain.
Together, these figures show why Ramadan deserves to be understood as more than a religious observance or a seasonal marketing opportunity.
What are British Muslims spending on
Across the next four articles, we will look more closely at four areas where Ramadan creates significant consumer and community activity in Britain:
Groceries and food: How Ramadan changes household shopping, supermarket demand, halal food consumption and the role of food brands.
Charity and giving: Why Ramadan is such an important period for zakat, sadaqah and charitable organisations, and what brands can learn from the way British Muslims give.
Modest fashion and gifting: How Ramadan and Eid influence clothing, fragrance, gifts and personal spending, from mainstream retailers to Muslim-focused brands.
Travel: How family visits, Eid travel and religious travel contribute to the wider Ramadan economy.
A brand's goal is not to put a price on Ramadan but to understand the people behind the numbers. Businesses that want to reach British Muslim consumers, that understanding is where the real opportunity begins.
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