Industry Statistics and Trends
Market size and recent performance (2015-2030)
Industry revenue has declined at a CAGR of 15.8 % over the past five years, to reach an estimated £693.6m in 2025.
Trends and Insights
Younger people are ditching the dancefloor
- Young people, once known for being party animals, have been bidding farewell to this lifestyle over the past five years. This group has long been a key market for nightclubs, and with individuals deciding not to attend, it is fueling the industry's decline.
- Additional trends and insights available with purchase
Source: IBISWorld
Industry outlook (2025-2030)
Market size is projected to decline over the next five years.
Trends and Insights
Minimising operational costs will continue to be a challenge
- Nightclubs will continue to face significant challenges due to elevated rent, energy and labour costs. These increases are driven by inflationary pressures and labour shortages in the hospitality sector, pushing up costs.
Biggest companies in the Nightclubs in the UK
| Company | Market Share (%)
2025 | Revenue (£m)
2025 |
|---|---|---|
REKOM Group A/S | 75.0 | |
Stonegate Pub Company Ltd | 15.9 | |
A3D2 Ltd | 6.2 |
To view the market share and analysis for all 4 top companies in this industry, view purchase options.
Products & Services Segmentation
Source: IBISWorld
Industry revenue is measured across several distinct product and services lines, including Drinks, Club access and Venue hire. Drinks is the largest segment of the Nightclubs in the UK.
Trends and Insights
Cost-of-living pressures and changing consumer preferences weigh on drinks sales
- Beer and spirit-based mixers are popular choices for those attending nightclubs, but clubs usually offer a full range of options, with non-alcoholic beverages like water and juice also available.
- More insights available in the full report
Table of Contents
About this industry
Industry definition
The Nightclubs industry covers licensed establishments, like nightclubs and social clubs, that sell beverages for on-site consumption and usually charge a fee for admission. This may come in the form of an entrance fee or a membership fee. They commonly provide musical entertainment and dance venues.
What's included in this industry?
Products and services covered in the Nightclubs industry in the United Kingdom include Drinks, Club access, Venue hire and Cloakroom services and merchandise.Companies
Companies covered in the Nightclubs industry in the United Kingdom include REKOM Group A/S, Stonegate Pub Company Ltd and A3D2 Ltd.Purchase this report to view all 4 major companies in this industry.
Related Terms
Related terms covered in the Nightclubs industry in the United Kingdom include on-licence, social club and pre-drink.Industry Code
SIC 56.30/1 - Nightclubs in the UK
Performance
Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.
Analyst insights
Declining alcohol consumption has hindered nightclubs. Britons are drinking less and less alcohol amid growing health consciousness, reducing sales at nightclub venues.
In this chapter (4)
- Current Performance
- Outlook
- Volatility
- Life Cycle
Key metrics
- Annual Revenue, Recent Growth, Forecast, Revenue Volatility
- Number of Employees, Recent Growth, Forecast, Employees per Business, Revenue per Employee
- Number of Businesses, Recent Growth, Forecast, Employees per Business, Revenue per Business
- Total Profit, Profit Margin, Profit per Business
Charts
- Revenue, including historical (2015-2024) and forecast (2025-2030)
- Employees, including historical (2015-2024) and forecast (2025-2030)
- Businesses, including historical (2015-2024) and forecast (2025-2030)
- Profit, including historical (2015-2025)
- Industry Volatility vs. Revenue Growth
- Industry Life Cycle
Detailed analysis
- Trends in supply, demand and current events that are driving current industry performance
- Expected trends, economic factors and ongoing events that drive the industry's outlook
- Key success factors for businesses to overcome volatility
- How contribution to GDP, industry saturation, innovation, consolidation, and technology and systems influence the industry's life cycle phase.
Products and Markets
Learn about an industry's products and services, markets and trends in international trade.
Analyst insight
More people are going alcohol-free. As alcohol consumption declines, so are sales from drinks. This trend is particularly strong among young people.
In this chapter
- Products & Services
- Major Markets
Key metrics
- Largest market segment and value in 2025
- Product innovation level
Charts
- Products & services segmentation in 2025
- Major market segmentation in 2025
Detailed analysis
- Trends impacting the recent performance of the industry's various segments
- Innovations in the industry's product or service offering, specialization or delivery method
- Key factors that successful businesses consider in their offerings
- Buying segments and key trends influencing demand for industry products and services
Geographic Breakdown
Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.
Analyst insights
The North West thrives on student nightlife. High student populations and household alcohol spending attract clubs to this region, providing a steady customer base for a live...
In this chapter (1)
- Business Locations
Charts
- Share of revenue, establishment, wages and employment in each region
- Share of population compared to establishments in each region in 2025
Tables
- Number and share of establishments in each region in 2025
- Number and share of revenue each region accounts for in 2025
- Number and share of wages each region accounts for in 2025
- Number and share of employees in each region in 2025
Detailed analysis
- Geographic spread of the industry across Europe, and trends associated with changes in the business landscape
- Key success factors for businesses to use location to their advantage
Competitive Forces
Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.
Analyst insights
Nightclubs require substantial start-up costs. Initial expenses include renting a location, obtaining licenses, furnishing and outfitting with proper equipment and sound syst...
In this chapter (4)
- Concentration
- Barriers to Entry
- Substitutes
- Buyer & Supplier Analysis
Key metrics
- Industry concentration level
- Industry competition level and trend
- Barriers to entry level and trend
- Substitutes level and trend
- Buyer power level and trend
- Supplier power level and trend
Charts
- Market share concentration among the top 4 suppliers from 2020-2025
- Supply chain including upstream supplying industries and downstream buying industries, flow chart
Detailed analysis
- Factors impacting the industry’s level of concentration, such as business distribution, new entrants, or merger and acquisition activity.
- Key success factors for businesses to manage the competitive environment of the industry.
- Challenges that potential industry entrants face such as legal, start-up costs, differentiation, labor/capital intensity and capital expenses.
- Key success factors for potential entrants to overcome barriers to entry.
- Competitive threats from potential substitutes for the industry’s own products and services.
- Key success factors for how successful businesses can compete with substitutes.
- Advantages that buyers have to keep favorable purchasing conditions.
- Advantages that suppliers have to maintain favorable selling conditions.
- Key success factors for how businesses can navigate buyer and supplier power.
Companies
Learn about the performance of the top companies in the industry.
Analyst insights
Most nightclubs are small and owner-operated. Most nightclubs are independent and owner-operated as a challenging environment makes branching out unattractive.
In this chapter
- Market Share Concentration
- Companies
- Company Spotlights
Charts
- Industry market share by company in 2021 through 2025
- Major companies in the industry, including market share, revenue, profit and profit margin in 2025
- Overview of REKOM Group A/S's performance by revenue, market share and profit margin from 2019 through 2025
- Overview of Stonegate Pub Company Ltd's performance by revenue, market share and profit margin from 2019 through 2025
- Overview of A3D2 Ltd's performance by revenue, market share and profit margin from 2019 through 2025
- Overview of revenue, market share and profit margin trend for one additional company
Detailed analysis
- Description and key data for REKOM Group A/S, and factors influencing its performance in the industry
- Description and key data for Stonegate Pub Company Ltd, and factors influencing its performance in the industry
- Description and key data for A3D2 Ltd, and factors influencing its performance in the industry
- Description, key data and performance trends for one additional company
External Environment
Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.
Analyst insights
Significant regulation includes the Licensing Act 2003. This act requires pubs to register with local authorities, ensuring responsible alcohol sales and adherence to operati...
In this chapter
- External Drivers
- Regulation & Policy
- Assistance
Key metrics
- Regulation & policy level and trend
- Assistance level and trend
Charts
- Regulation & Policy historical data and forecast (2015-2030)
- Assistance historical data and forecast (2015-2030)
Detailed analysis
- Demographic and macroeconomic factors influencing the industry, including Regulation & Policy and Assistance
- Major types of regulations, regulatory bodies, industry standards or specific regulations impacting requirements for industry operators
- Key governmental and non-governmental groups or policies that may provide some relief for industry operators.
Financial Benchmarks
View average costs for industry operators and compare financial data against an industry's financial benchmarks over time.
Analyst insights
Clubs grapple with labour shortages. Nightclubs have faced severe labour shortages which, alongside annual hikes in NLW, have put upward pressure on wage costs. However, decl...
In this chapter
- Cost Structure
- Financial Ratios
- Key Ratios
Key metrics
- Profit margin, and how it compares to the sector-wide margin
- Average wages, and how it compares to the sector-wide average wage
- Largest cost component as a percentage of revenue
- Industry average ratios for days' receivables, industry coverage and debt-to-net-worth ratio
Charts
- Average industry operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2025
- Average sector operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2025
- Investment vs. share of economy
Data tables
- Liquidity Ratios (2019-2023)
- Coverage Ratios (2019-2023)
- Leverage Ratios (2019-2023)
- Operating Ratios (2019-2023)
- Assets (2019-2023)
- Liabilities (2019-2023)
- Cash Flow & Debt Service Ratios (2015-2030)
- Revenue per Employee (2015-2030)
- Revenue per Enterprise (2015-2030)
- Employees per Establishment (2015-2030)
- Employees per Enterprise (2015-2030)
- Average Wage (2015-2030)
- Wages/Revenue (2015-2030)
- Establishments per Enterprise (2015-2030)
- IVA/Revenue (2015-2030)
- Imports/Demand (2015-2030)
- Exports/Revenue (2015-2030)
Detailed analysis
- Trends in the cost component for industry operators and their impact on industry costs and profitability
Key Statistics
Industry Data
Data Tables
Including values and annual change:
- Revenue (2015-2030)
- IVA (2015-2030)
- Establishments (2015-2030)
- Enterprises (2015-2030)
- Employment (2015-2030)
- Exports (2015-2030)
- Imports (2015-2030)
- Wages (2015-2030)
Top Questions Answered
Unlock comprehensive answers and precise data upon purchase. View purchase options.
What is the market size of the Nightclubs industry in the United Kingdom in 2025?
The market size of the Nightclubs industry in the United Kingdom is £693.6m in 2025.
How many businesses are there in the Nightclubs industry in the United Kingdom in 2025?
There are 751 businesses in the Nightclubs industry in the United Kingdom, which has declined at a CAGR of 15.0 % between 2020 and 2025.
How may import tariffs affect the Nightclubs industry in the United Kingdom?
The Nightclubs industry in the United Kingdom is unlikely to be materially impacted by import tariffs with imports accounting for a low share of industry revenue.
How may export tariffs affect the Nightclubs industry in the United Kingdom?
The Nightclubs industry in the United Kingdom is unlikely to be materially impacted by export tariffs with exports accounting for a low share of industry revenue.
Has the Nightclubs industry in the United Kingdom grown or declined over the past 5 years?
The market size of the Nightclubs industry in the United Kingdom has been declining at a CAGR of 15.8 % between 2020 and 2025.
What is the forecast growth of the Nightclubs industry in the United Kingdom over the next 5 years?
Over the next five years, the Nightclubs industry in the United Kingdom is expected to decline.
What are the biggest companies in the Nightclubs industry in the United Kingdom?
The biggest companies operating in the Nightclubs industry in the United Kingdom are REKOM Group A/S, Stonegate Pub Company Ltd and A3D2 Ltd
What does the Nightclubs industry in the United Kingdom include?
Drinks and Club access are part of the Nightclubs industry in the United Kingdom.
Which companies have the highest market share in the Nightclubs industry in the United Kingdom?
The company holding the most market share in the Nightclubs industry in the United Kingdom is REKOM Group A/S.
How competitive is the Nightclubs industry in the United Kingdom?
The level of competition is moderate and decreasing in the Nightclubs industry in the United Kingdom.
Methodology
How are IBISWorld reports created?
IBISWorld has been a leading provider of trusted industry research for over 50 years to the most successful companies worldwide. With offices in Australia, the United States, the United Kingdom, Germany and China, we are proud to have local teams of analysts that conduct research, data analysis and forecasting to produce data-driven industry reports.
Our analysts start with official, verified and publicly available sources of data to build the most accurate picture of each industry. Analysts then leverage their expertise and knowledge of the local markets to synthesize trends into digestible content for IBISWorld readers. Finally, each report is reviewed by one of IBISWorld’s editors, who provide quality assurance to ensure accuracy and readability.
IBISWorld relies on human-verified data and human-written analysis to compile each standard industry report. We do not use generative AI tools to write insights, although members can choose to leverage AI-based tools within the platform to generate additional analysis formats.
What data sources do IBISWorld analysts use?
Each industry report incorporates data and research from government databases, industry-specific sources, industry contacts, and our own proprietary database of statistics and analysis to provide balanced, independent and accurate insights.
Key data sources in the UK include:
- Office for National Statistics
- Office for Budget Responsibility
- Bank of England
Analysts also use industry specific sources to complement catch-all sources, although their perspective may focus on a particular organization or representative body, rather than a clear overview of all industry operations. However, when balanced against other perspectives, industry-specific sources provide insights into industry trends.
These sources include:
- Industry and trade associations
- Industry federations or regulators
- Major industry players annual or quarterly filings
Finally, IBISWorld’s global data scientists maintain a proprietary database of macroeconomic and demand drivers, which our analysts use to help inform industry data and trends. They also maintain a database of statistics and analysis on thousands of industries, which has been built over our more than 50-year history and offers comprehensive insights into long-term trends.
How does IBISWorld forecast its data?
IBISWorld’s analysts and data scientists use the sources above to create forecasts for our proprietary datasets and industry statistics. Depending on the dataset, they may use regression analysis, multivariate analysis, time-series analysis or exponential smoothing techniques to project future data for the industry or driver. Additionally, analysts will leverage their local knowledge of industry operating and regulatory conditions to impart their best judgment on the forecast model.
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