The value added of chemicals manufacturing in the UK has shown significant fluctuations from 2013 to 2023. Notable increases were observed in 2014 and 2015, followed by a decline in 2016 and 2017. A slight rebound occurred in 2018, with a more substantial growth noticed in 2019. The sector experienced a notable downturn in 2020, likely influenced by the COVID-19 pandemic, but gradually recovered through 2021 and 2022, reaching a value of £12.59 billion in 2023, a 1.32% increase from the previous year. The average annual growth rate (CAGR) over the last five years stood at 2.7%, showcasing a modest positive trend.
Looking forward, the forecast data between 2024 and 2028 predicts a steady growth trend, albeit at a slower rate. The 5-year forecasted CAGR suggests an average annual increase of 1.05%, with an overall growth rate of 5.36% by 2028. This reflects cautious optimism regarding the sector's stability and gradual expansion in the coming years.
Future trends to watch for include technological advancements in chemical production, sustainability practices, and updates to regulatory frameworks, which can significantly impact the industry's growth trajectory. Additionally, market dynamics influenced by global economic conditions and trade policies will be crucial factors.
