Fastest Declining Industries in the UK by Revenue Growth (%) in 2020

1. Organic Basic Chemical Manufacturing in the UK

2019-2020 Revenue Growth: -21.9%

The Organic Basic Chemical Manufacturing industry plays an important role in the chemical sector. Operators convert petrochemical feedstocks into basic organic chemicals such as olefins. Many of the products manufactured by the industry are the fundamental building blocks in a variety of consumer and industrial products. Industry revenue fell significantly in response to the financial crisis and more than halved in the space of two years between 2007-08 and 2009-10. Consequently, the industry is significantly smaller than it was prior to the recession. Additionally, greater production capacity in countries with low-cost manufacturing has made it difficult for operators to regain lost ground over the... Learn More

2. Hard Coal Mining in the UK

2019-2020 Revenue Growth: -20.0%

In global terms, the United Kingdom is a minor producer of coal. Production has fallen sharply since the early 1970s, plunging when a large number of mines were closed in the mid-1980s. Coal was responsible for over two-thirds of electricity generation in the 1990s, but it is now expected to only generate less than 5% of the UK’s electricity. Over the five years through 2019-20, industry revenue is anticipated to fall at a compound annual rate of 27.7%, as a result of government efforts to phase out the use of coal and volatile coal prices. In the current year, revenue is expected to decline by 20.9% to £140.9 million.Coal releases... Learn More

3. Video & Game Rental in the UK

2019-2020 Revenue Growth: -19.3%

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, such as through Subscription Video on Demand (SVOD) providers (see IBISWorld report SP0.017), 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.

Over the five years through 2019-20, industry revenue is expected to fall at compound annual rate of 31.3%, although this is distorted... Learn More

4. Solar Panel Installation in the UK

2019-2020 Revenue Growth: -18.7%

Industry operators install small-scale solar panel systems for households and businesses. The UK solar market has exploded over the past 15 years, with 13,000 megawatts of capacity installed in 2019, compared with just 12 megawatts in 2006. This has been supported by rising public concern regarding environmental issues, and policy support for renewables as the government pursues climate change targets. However, despite recording a strong start, the solar market has stagnated over much of the past five years, as government support for small-scale solar panel installation has contracted. As a result, industry revenue is expected to decline at a compound annual... Learn More

5. Copper Production in the UK

2019-2020 Revenue Growth: -12.9%

The primary product of the Copper Production industry is copper wire, which has a variety of electrical applications in cars, transport equipment and the construction sector. Products like busbars, which conduct electricity within switchboards and substations, are used in electrical power distribution. Other key products include copper pipes and pipe fittings used in plumbing, heating, ventilation and air conditioning systems. A renewed focus on operational efficiency has led operators to withdraw low-margin products from the market. Although industry operators process scrap copper and copper alloys, no primary copper refining occurs in the United Kingdom. Consequently, international trade plays an important role in the... Learn More

6. Crude Petroleum & Natural Gas Extraction in the UK

2019-2020 Revenue Growth: -11.0%

Oil and gas production in the United Kingdom have declined over the past decade as existing fields have matured and it has become increasingly challenging to develop new commercially viable sources. Operators have been able to endure this instability by forming partnerships to pool their resources and make extraction more efficient. The industry ramped up investment prior to the start of the current five-year period, with efforts aimed at softening the blow of declining output. Some operators are expected to reap the benefits of this early investment with a number of new fields coming on stream in the coming years.... Learn More

7. Real Estate Investment Trust Activities in the UK

2019-2020 Revenue Growth: -8.2%

Real estate investment trusts (REITs) are closed-ended investment firms that are listed on stock exchanges. This structure came into existence in the United Kingdom on 1 January 2007 through the Finance Act 2006. REITs manage and develop property on behalf of shareholders. These firms add value by allowing liquid, quick and readily available investment in property, as well as providing financial returns. REITs are seen as attractive investment vehicles, as they are tax efficient, being exempt from corporation tax. However, they must pay out 90% of their net property income to their shareholders.

The past five years have been characterised by... Learn More

8. Headphone Manufacturing in the UK

2019-2020 Revenue Growth: -8.2%

The Headphone Manufacturing industry is a very small industry, as the manufacture of headphones is predominantly concentrated in Asia, especially China. The industry has a high level of international trade, with exports generating a large chunk of industry revenue and imports satisfying the bulk of domestic demand. However, both imports and exports are inflated due to re-export activity. Industry operators focus on manufacturing premium headphones as they are unable to compete on price with low-cost foreign rivals. Industry revenue is expected to decline at a compound annual rate of 10.4% over the five years through 2019-20. Reductions in domestic manufacturing capacity and... Learn More

9. Paper Stationery Manufacturing in the UK

2019-2020 Revenue Growth: -7.7%

Operators in the Paper Stationery Manufacturing industry have endured tough conditions during the past five years due to the continued proliferation of electronic communication, data transfer and storage at the expense of traditional paper stationery products. Weak economic conditions have provided further complications for the industry, as businesses and households have reduced their spending on stationery products. Rising import penetration has negatively influenced the industry's performance. Many retailers have reported rising demand for luxury notebooks and planners, which has arrested decline for operators in this niche market. British producers are expected to move towards more environmentally friendly production methods in... Learn More

10. Newsagents & Stationery Stores in the UK

2019-2020 Revenue Growth: -6.7%

In the five years through 2019-20, operating conditions have been difficult, largely due to increasing levels of IT and telecommunications adoption which have occurred globally, mostly in the form of smartphone technology. Online retailing of stationery has grown dramatically in this time, while the circulation of newspapers has plummeted. Other external players have increased the variety of produce on offer and reduced their prices. As the Newsagent and Stationery Stores industry has been unable to compete with such prices, it has been left in a state of decline. Industry revenue is forecast to decline at a compound annual rate of 3.7% over the five years through 2019-20. In the current year, revenue is expected to... Learn More