The research conducted by market research firm Mintel reveals that the value of the British nail varnish market equalled lipstick sales with both having a market value of 229 million pounds.
Nail polish is now used by more than half of British women, mainly by the 16-24 year- old group, reports dailymail.co.uk.
"The fact that the nail colour cosmetics market has equalled that of the lip colour market for the first time highlights the growing popularity of nail polish," said Charlotte Libby, household and personal care analyst, Mintel.
"Nail art continues to be a driving factor in sales. An explosion of new textures and effects is emerging which allows young women in particular to easily personalise their nail look," she added.
Growth in nail polish industry is an indication of women staying up-to-date with fashion trends.
"The growth in new product development of nail polish can be linked to self-expression and the desire to keep up-to-date with current trends," Libby said.