The forecast for the UK's business enterprise expenditure on R&D as a percentage of GDP shows a steady annual increase from 1.22% in 2024 to 1.26% by 2028. The year-on-year growth rate is consistent at approximately 0.82%. Given this data, the compound annual growth rate (CAGR) stands at around 0.82% over the five-year period from 2024 to 2028.

Future trends to watch for include:

Impact of post-Brexit policies on R&D funding and collaboration opportunities with the EU and global partners.
Technological advancements driving R&D investments in artificial intelligence, green technologies, and digital transformation sectors.
Potential government interventions aimed at boosting R&D through incentives or increased public investment.
The effect of global economic conditions on private sector R&D spending.