Least Risky Industries in the UK in 2021

1. Cyber Security Software Development in the UK

2021 Overall Risk Score: 2.88

Operators in the Cyber Security Software Development industry create algorithms designed to be installed onto internet-connected networks to prevent unauthorised use. From undertaking businesses online to transferring financial information via online data packets, the Internet of Things has changed how society operates. However, the digital age has also allowed for cyber-attacks and the use malware to gain unauthorised access to computer networks for financial gain or personal data, threatening businesses and public resources. According to specialised global insurer, Hiscox, UK small businesses are the target of an estimated 65,000 cyber-attacks every day.

During the past five years, high-profile cyber breaches, including... Learn More

2. General Secondary Education in the UK

2021 Overall Risk Score: 2.93

The General Secondary Education industry provides education to students between 11 and 18 years of age. Most schools are funded by the government or local education authorities (LEAs), although the industry also includes privately funded independent schools, which are likely to drive industry growth over the five years through 2020-21. The majority of secondary schools are either academies, which are state-funded but operate independently of LEAs, or maintained schools, which are controlled by LEAs. Both operate according to government guidelines and are therefore directly influenced by government policy.

Industry operators rely heavily on government funding, which has remained fairly safeguarded from... Learn More

3. App Development in the UK

2021 Overall Risk Score: 2.98

The App Development industry comprises companies that write, design and test mobile application software. Since the release of the first iPhone in 2008, and with it the launch of Apple's App Store, the industry has gone from practically non-existent to an established segment of software development. The rapid penetration of smartphones equipped with internet connectivity and powerful processors has facilitated significant expansion. In the space of a decade, apps have integrated themselves into a variety of functions, becoming an indispensable feature of modern life. Industry revenue is expected to grow at a compound annual rate of 20.4% over the five... Learn More

4. Private Equity in the UK

2021 Overall Risk Score: 3.06

The United Kingdom is the largest European centre for the management of private equity investments and funds, and second only to the United States in terms of global importance. Private equity firms pool investment funds to purchase other companies. They attempt to improve a company's performance by implementing managerial and operational changes, before selling the company for a profit, generating return for their investors. The industry's key source of revenue is fees derived from management fees, calculated as a percentage of assets under management (AUM), and from performance fees on the total return from an invested company's initial public offering... Learn More

5. Chemical & Fertiliser Mineral Mining in the UK

2021 Overall Risk Score: 3.15

The Chemical and Fertiliser Mineral Mining industry has been subject to volatile conditions over the past five years. The industry transitioned to the production of polyhalite, which led to a substantial reduction in potash prices and significant decline. As a result, IBISWorld expects industry revenue to decrease at a compound annual rate of 9% to reach £90.4 million over the five years through 2020-21. However, in the current year, revenue is expected to rise by 1.2% as the largest industry operator, Cleveland Potash Ltd, has transitioned into a polyhalite only mining business. Industry players were able to continue production despite... Learn More

6. Online Education & Training in the UK

2021 Overall Risk Score: 3.30

Operators in this industry provide electronically supported learning systems. This includes both digital education and training through synchronous and asynchronous methods. Key industry products and services includes learning management system (LMS) platforms, online education and training courses and virtual classrooms.

Over the five years through 2020-21, industry revenue is expected to increase at a compound annual rate of 6.1% to reach £3.8 billion. The numerous benefits of online education and training such as reduced learning and development costs, time savings and flexibility and promotion of continuous development, have spurred demand over the period. Recognising its advantages, the government has implemented a... Learn More

7. Stock & Commodity Exchanges in the UK

2021 Overall Risk Score: 3.31

The Stock and Exchanges industry in the United Kingdom operates and supervises financial markets. These markets enable trading on orderly venues with a high degree of transparency, efficiency and security, relative to over-the-counter trading, which is not included in the industry. Financial instruments traded on these markets include: equities, bonds, commodities and derivatives including options, futures and swaps. This is undertaken through electronic platforms on Financial Conduct Authority registered markets, multilateral trading facilities, organised trading facilities and systematic internalisers. The industry also provides clearing and settlement services as well as data and financial market information provision services to facilitate trading.... Learn More

8. Warehousing & Storage in the UK

2021 Overall Risk Score: 3.34

The Warehousing and Storage industry provides its clients with storage facilities for a wide variety of goods. A large proportion of this is general merchandise. However, the industry also offers specialised storage of liquids and gases, agricultural commodities and refrigerated goods, including pharmaceuticals. Industry revenue is expected to grow at a compound annual rate of 3.6% over the five years through 2020-21 to reach £21.4 billion. The industry expanded over the period due to strong online expenditure and retail sales growth. Supply chains have become increasingly complex and the industry has adapted to satisfy new consumer demands. Warehouses have developed... Learn More

9. Air Transport Equipment Rental & Leasing in the UK

2021 Overall Risk Score: 3.40

The industry performed strongly for much of the past five-years period. The industry provides services through renting and short-term operating leases of ground support equipment, aircraft and engines as well as parts. The main clients of the industry are passenger air transport operators and airports. Overall, revenue is forecast to increase at a compound annual rate of 5.2% to reach £695.2 million over the five years through 2020-21. Industry growth at the start of the period was supported by an increase in inbound tourism as the value of the pound plunged. Increased tourism benefited budget airlines in particular, which in... Learn More

10. Investment Trusts in the UK

2021 Overall Risk Score: 3.42

Investment trusts are closed-ended funds that raise capital by issuing a set number of shares when they are launched. They are constituted as public limited companies. Funds raised are invested in a range of stocks and shares in order to generate investment returns and income. Industry firms are involved in managing and administering investment trusts and receive a fee for their services. Therefore, industry revenue is equivalent to the fees earned. Fees are calculated as a percentage of the value of assets under management (AUM).

The industry has expanded during the past five years. Industry growth was driven by improvements in... Learn More