The soaring cotton price pushed the British textile industry to the brink of death

According to recent reports from international media, the sharp increase in cotton prices has placed Leicester’s textile industry on the brink of collapse. Major local firms such as JackMasters, a well-known knitting company that targets the U.S. market, and HJ Hall, a leading sock manufacturer, have seen their profits plummet due to rising production costs. The situation is becoming increasingly dire for businesses that rely heavily on imported raw materials. As the UK's value-added tax continues to climb, economic instability is expected to worsen, especially with rising unemployment rates. By the end of this year, domestic-focused manufacturers are likely to face a double challenge—soaring input costs combined with weak consumer demand. This could lead to further declines in profit margins across the sector. Industry experts believe the British textile industry may begin to recover by next year, but uncertainty remains regarding the impact of currency fluctuations on export-oriented businesses. If the British pound strengthens against the euro, it could once again hurt the competitiveness of UK textile exports, making it harder for companies to maintain profitability in international markets. With global supply chains still recovering from past disruptions, the road to full recovery looks long and uncertain.