India is quickly evolving into a global hotspot for luxury and premium fashion, making the country a top target for UK high-street and mid-luxury labels eager for fast growth and booming demand. As disposable incomes rise, the urban middle class expands, and international exposure widens, Indian shoppers are accelerating the country’s transformation from an emerging to an essential consumer market for global fashion.
Growth Drivers: The Rise of India’s Affluent Consumers
India is set to experience one of the highest growth rates in the number of ultra-high net worth individuals (UHNWIs)—with a 50% increase expected by 2028, outpacing China, Turkiye, and Malaysia. This rapidly expanding base of high-spending consumers is driving the demand for the world’s top luxury and premium brands. Reports from McKinsey & Company and Business of Fashion highlight that up to 19,908 Indian ultra-rich (worth $30 million or more) will call India home by 2028, a massive jump from 13,263 in 2023.
With upwards of 326,400 millionaires and rapid GDP growth propelling India to soon become the world’s third-largest economy, global brands see Indian consumers as the new engine of luxury growth.
The British Invasion: UK Brands Bet Big on India
A flurry of UK-based high-street and premium brands—such as ASOS, Next, Karen Millen, Marks & Spencer, Burberry, and COS—have launched or expanded in India since 2024, alongside fast-fashion and beauty stalwarts like The Body Shop and Fenty Beauty. This wave has been fueled by more relaxed FDI norms, upgraded mall infrastructure, and most recently, the progressive UK-India Free Trade Agreement. The result: lower tariffs, more franchise deals, and more affordable British luxury, beauty, and fashion imports for Indian shoppers.
Mark Barraclough, COO of Karen Millen, noted that India offers a strong opportunity for the brand to establish a physical presence and explore a dynamic new market. ASOS shared similar optimism, expressing excitement about partnering with Reliance Retail to introduce its fashion-forward own brands, including ASOS Design, to Indian consumers, marking a significant step in expanding its global reach.
Market Shifts: Where the Growth Is Happening
While Mumbai, Delhi, and Bangalore remain core for flagships, expansion is rapidly reaching second-tier cities and emerging metros driven by mall development, e-commerce, and mobile-first shopping. Recent GST reforms and FTAs with the UK and EU have lowered operational complexity and rationalized pricing, giving global brands more predictability and transparency in their Indian playbook.
Modern retail’s shift toward curated experiential luxury and digital-physical hybrid models has prompted more UK and international brands to localize content, launch India-specific events, expand service offerings, and forge partnerships for physical and online reach.
From Exclusivity to Accessibility: Luxury for the New Indian
View this post on Instagram
Traditionally a closed, ultra-exclusive arena, India’s luxury market is democratizing fast. Digital-first strategies, pop-ups, local collaborations, and influencer marketing have made luxury and premium fashion part of the urban Indian lifestyle. Platforms like AJIO, Myntra, Tata Cliq, and Nykaa Fashion serve as the primary hosts for luxury cross-border commerce, while stores in top malls and bustling high streets bring global style to every Indian doorstep.
Standout Statistics
- Top 3 growth drivers: Rising ultra-rich, urbanization, FTAs/GST reforms.
- 50% growth in UHNWIs: Projected in the next three years.
- 20+ international fashion brands: Entered India in 2025 alone.
- British retail expansion: ASOS, Karen Millen, Next, Body Shop, Fenty Beauty, COS
- Infrastructure: jump in luxury mall leasing and record e-commerce growth.
What’s Next: A Global Luxe Future for Indian Fashion
As India’s luxury landscape grows, expect deeper localization, more digital-real world convergence, private client events, and homegrown collaborations. Tier 2 and Tier 3 cities will emerge as new nodes for international brands. The market will continue to balance traditional exclusivity with new access, making India not only the next growth story, but the center stage for global luxury’s future
