My youngest dd is 10, she loves her squishmallows, especially the big one which she uses as a pillow on the sofa! We bought hers last year in aldi for £12.99 in a special buy but she got another with birthday money in the entertainer for around £24. She also adores her fake oodie (primark one!) And her other favourite things right now are jewellery making (bought a load of beads off shein and a lunch bag to store them in!), fuse beads from amazon (a cheaper version of hama beads but better as sorted by colour!) and Crystal's. I bought a mystery box from etsy, a wooden box from the works to store them in and a book about them.
For the 2 year old how about happyland? My girls loved it at that age. Or plastic figures like schleich or wooden figures which people have posted the offers on. Maybe with a corresponding story? So some dinosaurs and the book 'the dinosaur who pooped Christmas' that was one of our favourites!! My girls at 5 still loved playing with figures and books.
Or a game each? Mine adore playing games and have done from a young age. At 2 the orchard toy range is perfect. 5 I would go for something like dobble, snakes and ladders, jenga or junior cluedo/monopoly. The 8 year old junior or disney colour brain, connect 4, battleship, bop it, exploding kittens, no more llamas, bugs in the kitchen, or a compendium of games. We have so many games but those are our favourites around those ages.