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Home News

Costa Coffee capitalising on signature drink trends

by Daniel Woods
January 7, 2026
in Coffee Business News, News
Reading Time: 2 mins read
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Costa Coffee has unveiled a new matcha range for its UK locations.

Costa Coffee has unveiled a new matcha range for its UK locations. Image: Costa Coffee.

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Costa Coffee has launched a new matcha range in its United Kingdom locations as part of its refreshed January menu, with products to be unveiled in the brand’s more than 2800 locations across the region from 8 January.

In addition to the hot matcha latte and iced matcha latte available at cafés, Costa is also releasing a range of pistachio and iced drinks at its Costa Express machines.

Instant Barista Creations Iced Latte sachets will also be released in Tesco stores from Monday 19 January and Iceland stores from February for a limited time, including a classic Iced Latte and an Iced Hazelnut Crème.

Global Food and Beverage Innovation Director at Costa Coffee, Nishant Bhatia, says the new range has been created to capitalise on the ritual of matcha and coffee.

“January is about finding small moments of comfort and enjoyment, and that was front of mind when creating this menu – especially our new Matcha range,” says Bhatia.

“Costa Coffee’s matcha is designed to be a feel-good ritual, whether you’re discovering matcha for the first time or already love its smooth flavour.”

Costa Coffee was consistently making headlines towards the end of 2025 due to reported interest from parent company Coca-Cola in selling the business.

In 2018, Whitbread Plc sold Costa to Coca-Cola for an enterprise value of US$5.1 billion, but reports indicate Coca-Cola is prepared to sell the asset roughly US$2.7 billion.

Reuters reported talks between Coca-Cola and preferred bidder TDR Capital had stalled as of 14 December 2025.

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