In 2023, the labour costs in the UK's air and spacecraft and related machinery sector stood at 6.50 billion pounds. Moving into the forecasted years from 2024 to 2028, we see a consistent upward trend in labour costs, with a year-on-year increase of approximately 2% each year. This steady rise culminates in costs reaching 7.17 billion pounds by 2028, reflecting a 5-year compound annual growth rate (CAGR) of about 2%.

Looking forward, key trends to watch include:

Technological advancements influencing workforce skills requirements
Potential impacts of Brexit on labor market dynamics
Increased focus on sustainability possibly driving new training and employment needs
Global competition influencing wage pressures and labour cost adjustments