The 7 Fastest Growing Industries in the UK
- Matthew Martin
- Mar 14, 2024
- 3 min read
With everything being so gloom and doom in the news at the moment, I thought its worth looking at the fastest growing sectors in the U.K, based on their revenue growth.
7. Online Men’s Clothing Retailers (U.K based) - 19.0% growth
Online Men's Clothing Retailers industry's revenue is forecast to grow at a compound annual rate of 10.3% to £2 billion over the five years through 2022-23, including an expected contraction of 8.9% in 2022-23; the average profit margin is forecast to reach 6.3% in the current year.
6. Social Media Platforms – 20.1%
Social media platforms have become an essential part of daily life, enabling users to communicate, create and consume content, and share information. According to Ofcom, around 60% of UK adults engage with social media, messaging, video-sharing, and live-streaming services provided by online communication platforms.
Advertising remains the primary revenue stream for these platforms, although subscription-based services are gaining traction as companies diversify their income sources. For example, TikTok, which became the most downloaded app in both 2021 and 2022, achieved an average revenue growth of over 450% between 2019 and 2022. Over the five years leading up to 2023-24, the industry’s revenue is projected to grow at a compound annual rate of 41.8%, reaching an estimated £10.4 billion.
5. Fraud Detection Software development (U.K Based) – 20.3%
As organised crime schemes have become increasingly sophisticated, fraud detection software has followed suit. The growth in artificial intelligence has shifted industry interest from rule-based systems to systems powered by machine learning software. The number of activities conducted on the web, including online commerce and online banking, has surged, triggering an explosion of data tools and software, including software designed to ensure that sensitive personal information and payment card information is kept safe.
4. Immersive Technology (UK Based) – 21.9%
Immersive technologies, or extended reality (XR) – an umbrella term for virtual reality (VR), augmented reality (AR), mixed reality (MR) and haptics – have recorded a boom in popularity over the past decade. with greater social acceptance of technology, XR has revolutionised how people interact with data, information and content, becoming a staple in modern business processes and next-generation entertainment. Recognising that XR could become the ‘new norm', the government, research agencies and private equity stakeholders have
supported developments through investment funding and business incubation.
3. Language Learning Software Developers in the UK - 22.4%
The language learning software industry has boomed, with revenue estimated to hike at a compound annual rate of 17% over the five years through 2023-24. Its successful performance is partially due to the infancy of the industry, with the majority of language learning platforms being less than 10 years old. Language learning apps surged in popularity among consumers, providing a cheaper alternative to traditional face-to-face courses while offering greater flexibility to users with regard to the time they are willing or able to dedicate to language learning.
2. Corporate Travel Services in the UK – 31.5%
With various contributions such as Covid, Brexit and the increasing costs of travel it meant the travel sector took a significant downturn over those past few years. Now as everything starts to settle business is open to traveling again, with a focus on corporate travel deal.
Non-Alcoholic Beer Production
Per-capita alcohol consumption, income, price, health consciousness and consumer preferences drive non-alcoholic beer producers' performance. Over the five years through 2022-23, revenue is set to grow at a compound annual rate of 30% to £807.6 million, including growth of 34.2% in 2022-23, with the average industry profit margin hitting 19.7%.
Shrinking alcohol consumption per capita alongside growing health consciousness is paving the way for industry growth. Popular craft beer producers are rapidly introducing no-alcohol and sustainable beer varieties, driving growth in the non-alcoholic beer industry. During the COVID-19 pandemic, many consumers stuck at home cut out booze, dabbing into non-alcoholic beer.
