The number of employees in the business services sector in the UK has shown a consistent upward trend from 2013 to 2023, standing at 15.52 million in 2023. The year-on-year growth varied, peaking in 2015 at 3.03%, followed by a gradual slowdown to 0.96% in 2023. The compounded annual growth rate (CAGR) over the last five years was 0.97%.
Looking ahead, the forecasted data suggests a continued growth, albeit at a slower pace, with a projected CAGR of 0.69% from 2024 to 2028. This indicates that although the sector will keep expanding, the growth rate is predicted to decelerate slightly over the next five years, resulting in a total increase of 3.51% by 2028.
Future trends to watch for include the impact of automation and digital transformation on employment numbers, evolving skill requirements, and potential Brexit-related effects on the labor market and service demand. Additionally, the sector's adaptability to new economic policies and global trade dynamics will be critical to sustaining its growth trajectory.