Fastest Declining Industries in the UK by Revenue Growth (%) in 2023

1. Hard Coal Mining in the UK

2023-2024 Revenue Growth: -30.0%

Over the five years through 2022-23, hard coal mining revenue is forecast to fall at a compound annual rate of 26.2%. Before COVID-19 hit, coal prices were inching downwards as demand for coal from electricity generators fell. The drop in sales and revenue has contributed to a sharp drop in the number of UK coal mines in the UK, with numerous mining licences expiring.

The COVID-19 outbreak accelerated the closure of coal mines in the UK; however, as the pandemic started to wind down, coal prices rose in response to supply chain disruptions. Russia's invasion of Ukraine has also played a... Learn More

2. Precious Metals Production in the UK

2023-2024 Revenue Growth: -14.0%

Industry operators recycle gold, silver and platinum group metals from many materials. Sales of platinum group metals are heavily influenced by the performance of the automotive sector, as the commodity is a crucial input in the manufacture of catalytic converters. Platinum is more prevalent in diesel vehicles and palladium in petrol vehicles, although all catalysts contain a proportion of platinum, palladium and rhodium. Gold and silver are both used to make jewellery and have a variety of industrial uses. Furthermore, they are also popular with investors, who consider them a safe investment for their wealth, causing gold and silver prices... Learn More

3. Video & Game Rental in the UK

2023-2024 Revenue Growth: -11.9%

Industry operators rent physical copies of films, TV programmes and games in stores or over the internet to be delivered by post. The industry does not include the provision of media through streaming services (see IBISWorld report SP0.017), such as subscription video on demand providers, or downloadable games. Following the shift in consumer preference towards streaming services and the subsequent exit of major industry players, the industry has undergone massive structural change and is now highly fragmented.

Industry revenue is forecast to decline at a compound annual rate of 28.3% over the five years through 2022-23 to £13.5 million. This includes... Learn More

4. Fuels, Industrial Chemicals & Metals Agents in the UK

2023-2024 Revenue Growth: -9.9%

Fuel, chemical and metal agents contend with highly volatile global commodity prices and industrial production and construction output fluctuations. The COVID-19 outbreak severely pressured global economic growth causing production levels to tumble and stymieing oil demand. Oil prices collapsed and fell into negative territory for the first time, with producers paying clients to take the surplus off their hands. Record-low oil prices had a substantial contractionary effect on revenue as most agents work off a commission basis. China's steel production was curbed by strict social distancing measures, lagging behind global steel demand, forcing the prices of some steel products to... Learn More

5. Tobacconists in the UK

2023-2024 Revenue Growth: -8.3%

Tobacconists sell tobacco products such as cigarettes, cigars, pipes and accessories. Over the five years through 2022-23, industry revenue is expected to decline at a compound annual rate of 0.6% to £535.3 million. Rising public awareness of the health risks of smoking, driven by intense anti-smoking campaigns by the government and activist groups, has caused smoking rates and sales to plummet for tobacco retailers. Increasingly stringent legislation, such as the EU Tobacco Product Directive, has worsened the industry's operating conditions. Additionally, competition from supermarkets and convenience stores has intensified. Additionally, a vibrant illegal tobacco market and an increase in cross-border... Learn More

6. Garden Centres & Pet Shops in the UK

2023-2024 Revenue Growth: -7.6%

Over the five years through 2022-23, the Garden Centres & Pet Shops industry is expected to decrease at a compound annual rate of 1.6% to reach £4.7 billion. In the current year, industry revenue is expected to decline by 4%. Pet ownership increased over the COVID-19 (coronavirus) pandemic lockdowns, but as individuals return to work and the cost-of-living crisis constrains disposable income throughout 2022-23, more pets are being put up for adoption, reducing pet supplies demand. Additionally, more people are choosing to use adoption centres. Therefore, the main source of revenue that comes through the sale of pet supplies and... Learn More

7. Online Home Furnishing Retailing in the UK

2023-2024 Revenue Growth: -6.7%

Over the five years through 2022-23, revenue will increase at a compound annual rate of 1.8%. Government assistance has helped drive online home furnishing retailers' sales, particularly during the peak-pandemic and lockdown periods. The growing proportion of rented households has also shaken up the homeware and furnishing market, while the industry faces intense competition from bricks-and-mortar furnishing retailers and clothing retailers expanding into the homeware arena.

In 2022-23, revenue will plunge by 10.4% to £2.2 billion. Revenue shot up by 25.5% in 2020-21 in line with soaring housing transactions, a COVID-19-induced surge in sales and a shift in consumer purchasing behaviour,... Learn More

8. Jewellery & Watch Stores in the UK

2023-2024 Revenue Growth: -5.5%

Operators in the Jewellery and Watch Stores industry sell jewellery, watches, clocks, silverware and gift items across various price points. Jewellery and watches are considered to be discretionary items and demand is therefore linked to consumer confidence and disposable income. Uncertainty surrounding near-term economic prospects has weighed on demand over the past five years, as consumers have reduced their spending on luxury goods. However, resilient demand from higher-income consumers, who tend to be less susceptible to economic conditions, is expected to have supported revenue growth at the start of the period.

The depreciation of the pound over the past five years... Learn More

9. Respiratory Protection Equipment Manufacturing in the UK

2023-2024 Revenue Growth: -5.3%

Companies in this industry manufacture respiratory protection equipment for use in workplaces where employees are exposed to potentially harmful substances in the atmosphere. High-risk work includes the cutting, drilling, sanding and welding of materials in construction and manufacturing industries, as well as quarry work and chemical manufacturing. The incidence of work-related ill-health per 100,000 workers has shown signs of a slight increase over the past five years, compared with a largely downward trend recorded prior to the start of this period. The increased prevalence of work-related respiratory diseases has supported industry demand over the past five years.

Industry revenue is expected... Learn More

10. Grocery Markets in the UK

2023-2024 Revenue Growth: -5.2%

The Grocery Markets industry retails a variety of food and drink products via stalls and markets. This includes the retailing of fruit, vegetables, fish and meat. However, the industry excludes the sale of food for immediate consumption. The major markets for the industry are consumers and the food-service industry. Inputs are generally purchased directly from farmers or wholesalers, or operators are vertically integrated with farms.

Over the five years through 2022-23, industry revenue is expected to contract at a compound annual rate of 6.7% to £204.9 million. In 2018-19, industry demand was restricted by constrained disposable incomes and consumer confidence due... Learn More