Most Profitable Industries in the UK in 2021

1. Legal Activities in the UK

Total Profit for 2021: $10.6B

Solicitors, barristers, patent agents, notaries and bailiffs carry out legal activities on behalf of private and corporate clients. Over the five years through 2021-22, industry revenue is expected to rise at a compound annual rate of 0.3% to reach £36.8 billion. Widespread business uncertainty following the EU referendum and the COVID-19 (coronavirus) outbreak have weighed on industry growth, owing to declining M&A activity and falling residential property transactions. However, the industry is countercyclical, meaning that demand for legal work in certain areas, such as litigation and insolvency matters, grows in times of economic downturn. This is expected to mitigate steeper... Learn More

2. Computer Consultants in the UK

Total Profit for 2021: $9.0B

The Computer Consultants industry is composed of businesses that provide expert advice and assistance in planning and designing computer systems that integrate computer hardware, software and communication technologies. Computer consultants provide services to clients in all sectors of the economy, although the financial services and public sectors are particularly important markets. Demand for industry services is largely influenced by business confidence levels, which typically rise and fall in line with general economic conditions, and technological advancements, particularly those that are beneficial to businesses.

With the exception of 2020-21, when revenue grew only marginally due to the economic slowdown caused by the... Learn More

3. Banks in the UK

Total Profit for 2021: $8.7B

Retail and commercial banks generate most of their revenue by charging interest on loans, while a secondary source of revenue is represented by non-interest income from card fees and overdraft fees. Over the five years through 2021-22, industry revenue is expected to decline at a compound annual rate of 3.3% to £92.3 billion. The low-interest-rate environment of the past five years has limited the interest earned by banks from loans, negatively affecting income. Economic uncertainty since the EU referendum restricted demand from home mortgages, while subdued business confidence reduced demand for commercial loans. In addition, a stricter regulatory environment, including... Learn More

4. Construction Contractors in the UK

Total Profit for 2021: $8.0B

Operators in the Construction Contractors industry are active across the building construction and civil engineering markets. While, by broad definition, operators are remunerated for completing new building and infrastructure construction contracts, or for fulfilling maintenance, repair, renovation and remodelling contract obligations, the spectrum of services offered by civils and general building contractors in this industry is multifaceted. Some contractors focus on the construction of new dwellings, while civil engineering specialists afford clients services across the infrastructure value chain. Some contractors specialise in commercial building activity, while many independent contractors may focus on small-scale maintenance contracts in local markets.

Prior to the... Learn More

5. Security & Commodity Contracts Brokerage in the UK

Total Profit for 2021: $8.0B

Brokers in the Security and Commodity Contracts Brokerage industry deal in financial markets on the behalf of others. Industry operators do not deal in markets on their own account or manage portfolios. Industry revenue has declined over the past five years; however, industry revenue in the base year was distorted by large stock markets sell-offs the year. Volatility in the industry has remained very high, which has at times benefited the industry. Demand for industry services is expected to be slightly erratic in the two years through 2021-22, as volatility related to the spread of the COVID-19 (coronavirus) pandemic increases... Learn More

6. Management Consultants in the UK

Total Profit for 2021: $7.7B

The Management Consultants industry covers a broad range of consulting services, including strategic and organisational planning, marketing, IT, human resource consulting and business process management. Over the five years through 2020-21, industry revenue is expected to grow at a compound annual rate of 3.6% to reach £64.1 billion. This growth has been largely driven by rising demand for IT consulting services. In addition, regulatory changes in the financial services sector, the industry's largest downstream market, have benefited the industry, as banks and other financial institutions have required assistance to reformulate business strategies and operations in order to comply with new... Learn More

7. Building Project Development in the UK

Total Profit for 2021: $7.5B

Operators in the Building Project Development industry bring together the financial, technical and physical resources required to complete a property development. Upon completion, the property may be delivered to a client for subsequent use or sale, or the developer may retain equity interest and derive income via rental fees charged. The financial and operational performance of development markets rests on a number of economic and socio-economic factors, ranging from property valuations and price movements to market sentiment and credit conditions.

Industry revenue is estimated to increase at a compound annual rate of 2.8% over the five years through 2020-21, to reach... Learn More

8. New Car & Light Motor Vehicle Dealers in the UK

Total Profit for 2021: $7.2B

Industry revenue is anticipated to fall at a compound annual rate of 4.3% over the five years through 2021-22 to £110 billion. New car registrations have declined as a result of economic uncertainty caused by the EU referendum. Rising fuel prices and a weak pound have inflated the cost of new car ownership, restricting demand. Profit margins are estimated to have fallen to 6.3% over the five years through 2021-22. The propensity of consumers to spend on discretionary items has been curbed by low consumer confidence and business expenditure. The mainstream discovery that diesel combustion emits more nitrogen oxide has... Learn More

9. General Insurance in the UK

Total Profit for 2021: $4.8B

Businesses in this industry underwrite general insurance policies relating to property, casualty, liability, motor vehicles and other general risks. The premiums they earn from these activities are then invested to generate additional income. The industry provides services to both private and commercial clients. Underwriting life and disability do not fall within this industry, although general health insurance does.

Over the five years through 2021-22, industry revenue is expected to decline at a compound annual rate of 0.4%. At the start of the period, investment income faltered as bond yields were constrained due to Bank of England interest rate decreases and corporate... Learn More

10. Supermarkets in the UK

Total Profit for 2021: $4.7B

Industry revenue is expected to grow at a compound annual rate of 1.7% over the five years through 2021-22 to reach £207.1 billion. Changing shopping habits, the aggressive expansion of discount supermarkets and increased external competition have influenced industry performance over the past five years. The largest operators have cut prices to attract greater loyalty from their customers. The Big Four's grip on the industry has weakened as a result of slipping profit margins, and a weak pound since the EU referendum has eaten into profit. Nevertheless, supermarkets have been expanding into the Convenience Store industry.

National lockdowns and the closure... Learn More