Forecast: Financial Services and Insurance Output in the UK

In 2023, the Financial Services and Insurance output in the UK stood at 340.62 billion Euros. The industry has shown fluctuating performance over the past decade, with significant year-on-year variations. Recent years indicate a trend towards stabilization, evidenced by a modest year-on-year increase of 0.91% in 2023. Notably, from 2020 to 2023, the compound annual growth rate (CAGR) was around 1.2%, indicative of a relative recovery post-pandemic.

Looking forward to 2028, the forecast suggests a steady but modest growth rate with a 5-year CAGR of 0.74%. Financial services and insurance output is expected to grow by 3.75% over the next five years. It highlights a period of moderate and consistent growth, contrasting with the more volatile fluctuations seen in the earlier part of the last decade.

Future trends to watch for:

• Impact of technological advancements like AI and blockchain on operational efficiencies and customer engagement.
• Regulatory changes stemming from Brexit and their long-term influence on the sector.
• Shifts in consumer behavior towards digital financial services and products.
• Potential economic impacts of geopolitical tensions and global market dynamics.