The value added of accommodation and food services in the UK has shown a dynamic trend over the past decade, starting from 43.53 billion pounds in 2013 and reaching 65.44 billion pounds in 2023. The sector experienced steady growth with annual increases ranging from 4.39% to 7.51% until 2019. However, the industry faced a significant downturn in 2020 with a 42.8% contraction due to the pandemic, falling to 33.92 billion pounds. Recovery was strong in 2021 with a 65.11% increase, and the sector continued to grow, reaching 63.85 billion pounds in 2022 and 65.44 billion pounds in 2023.
The forecast for the next five years indicates a steady growth pattern with a projected value of 73.38 billion pounds by 2028, reflecting a 1.91% CAGR. The anticipated overall growth rate for this period is 9.94%.
Future trends to watch for:
- Impact of economic stability and consumer spending on the sector
- Influence of technology and digital transformation in improving efficiency and customer experience
- Effects of environmental sustainability practices on business operations and growth
- Potential vulnerabilities to global health crises and geopolitical events
