In 2023, business enterprise expenditure on R&D in the UK was 2.15% of GDP. Forecasts from 2024 to 2028 reveal a steady increase, reaching 2.27% of GDP by 2028. This indicates an annual average growth rate (CAGR) of approximately 1.08%. The year-on-year growth is modest yet consistent, suggesting a stable commitment to R&D investment.

Future trends to watch include:

Increased investment in digital innovation and sustainability, aligning with global trends.
Potential impacts of trade agreements and policy changes post-Brexit.
Shifts in sectoral focus that may arise from evolving global economic conditions and technological advancements.