Property Unit Trusts in the UK - Market Research Report (2014-2029)
London, United Kingdom
Last Updated: May 2024
SIC K64.305Revenue
£316.7m
Past 5-Year Growth
Profit
£XX.Xm
Employees
1,788
Businesses
54
Wages
£XXX.Xm
Property Unit Trusts in the UK industry analysis
Property unit trust revenue is expected to contract at a compound annual rate of 9.8% over the five years through 2023-24. Regulations under the Markets in Financial Instruments Directive II have inflated the costs because of additional tax now charged on research. The pandemic damaged property unit trusts as retail and commercial heavy portfolios faced lower rental income from struggling retailers and businesses with less need for office space.
Trends and Insights
- COVID-19 disrupted property unit trust revenue. COVID-19 closures and an accelerated shift to online shopping have significantly diminished rental income and affected long-term retail property investments.
- A surge in online retail boosts industrial portfolios. Increased demand for warehouse spaces catered to e-commerce resulted in stronger performance for Property Unit Trusts with industrial-heavy assets.
- London offers funding and talent access. As the UK's financial heart, London houses a deep pool of experts and financial services, attracting property unit trusts to the city.
- Market consolidation leaves competition volatile. The abrdn merger increased market share concentration, intensifying competition among property unit trusts. However, profit struggles have meant that they and many other firms are exiting the industry.
Industry Overview
Market size and recent performance (2014-2029)
Industry revenue has declined at a CAGR of 9.8 % over the past five years, to reach an estimated £316.7m in 2024.
Trends and Insights
COVID-19 devastated property unit trust revenue
- COVID-19 had a massive impact on the property unit trust industry in the UK, eating into the total number of assets under management and revenues.
- Additional trends and insights available with purchase
Source: IBISWorld
Industry outlook (2024-2029)
Market size is projected to decline over the next five years.
Trends and Insights
Changing demand from customers means trusts must change their property investments
- Property unit trusts are especially sensitive to changes in the demand for different property types, as customer needs are constantly changing.
Biggest companies in the Property Unit Trusts in the UK
| Company | Market Share (%)
2024 | Revenue (£m)
2024 |
|---|---|---|
Legal and General Property Ltd | 93.0 | |
abrdn plc | 45.8 | |
M&G Real Estate Limited | 38.5 |
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 Diversified portfolios , Retail portfolios and Office portfolios . Diversified portfolios is the largest segment of the Property Unit Trusts in the UK.
Trends and Insights
Diversified portfolios benefit from reduced industry-specific risk
- Property unit trusts with diversified portfolios account for the majority of trusts and these funds own and manage properties across different sectors, like offices, warehouses, retail properties and residential buildings.
- More insights available in the full report
Widen you competitive advantage with related industries
Competitors
- Investment Trusts in the UK
- Private Equity in the UK
- Open-Ended Investment Company Activities in the UK
- Real Estate Investment Trust Activities in the UK
Complementors
- Commercial Building Construction in the UK
- Residential Building Construction in the UK
- Banks in the UK
International industries
- Private Equity, Hedge Funds & Investment Vehicles in the US
- Trusts & Estates in the US
- Financial Asset Investing in Australia
- Financial Asset Investing in New Zealand
- Trusts, Funds and Similar Financial Entities
Table of Contents
About this industry
Industry definition
This industry comprises property unit trusts, which have an open-ended share capital structure where units can be bought and sold directly through the fund manager. Property unit trusts hold, maintain and manage property portfolios for investment purposes. Open-ended investment companies investing primarily in property are also included. Residential unit trusts are typically pooled investment vehicles not on the stock exchange where investors collectively own units in a trust directly investing in real estate.
What's included in this industry?
Diversified portfolios Retail portfolios Office portfolios Industrial portfoliosCompanies
Legal and General Property Ltdabrdn plcM&G Real Estate LimitedPurchase this report to view all 4 major companies in this industry.
Related Terms
OPEN-ENDED FUNDCLOSED-ENDED FUNDNET ASSET VALUEReits (Real Estate Investment Trusts)PAIF (Property Authorised Investment Fund)Industry Code
SIC 64.30/5 - Property Unit Trusts 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
COVID-19 disrupted property unit trust revenue. COVID-19 closures and an accelerated shift to online shopping have significantly diminished rental income and affected long-te...
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 (2014-2023) and forecast (2024-2029)
- Employees, including historical (2014-2023) and forecast (2024-2029)
- Businesses, including historical (2014-2023) and forecast (2024-2029)
- Profit, including historical (2014-2024)
- 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
A surge in online retail boosts industrial portfolios. Increased demand for warehouse spaces catered to e-commerce resulted in stronger performance for Property Unit Trusts w...
In this chapter
- Products & Services
- Major Markets
Key metrics
- Largest market segment and value in 2024
- Product innovation level
Charts
- Products & services segmentation in 2024
- Major market segmentation in 2024
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
London offers funding and talent access. As the UK's financial heart, London houses a deep pool of experts and financial services, attracting property unit trusts to the city...
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 2024
Tables
- Number and share of establishments in each region in 2024
- Number and share of revenue each region accounts for in 2024
- Number and share of wages each region accounts for in 2024
- Number and share of employees in each region in 2024
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
Market consolidation leaves competition volatile. The abrdn merger increased market share concentration, intensifying competition among property unit trusts. However, profit ...
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 2019-2024
- 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
Prolonged fund suspensions amid COVID-19. The pandemic led to extended suspensions of property funds, affecting revenue and investor confidence. M&G Real Estate and Aviva Inv...
In this chapter
- Market Share Concentration
- Companies
- Company Spotlights
Charts
- Industry market share by company in 2020 through 2024
- Major companies in the industry, including market share, revenue, profit and profit margin in 2024
- Overview of Legal and General Property Ltd's performance by revenue, market share and profit margin from 2018 through 2024
- Overview of abrdn plc's performance by revenue, market share and profit margin from 2018 through 2024
- Overview of M&G Real Estate Limited's performance by revenue, market share and profit margin from 2018 through 2024
- Overview of revenue, market share and profit margin trend for one additional company
Detailed analysis
- Description and key data for Legal and General Property Ltd, and factors influencing its performance in the industry
- Description and key data for abrdn plc, and factors influencing its performance in the industry
- Description and key data for M&G Real Estate Limited, 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
The MiFID II reshapes the property unit trust landscape. Increased transparency and unbundling of research costs boost competitiveness and investor confidence in the industry...
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 (2014-2029)
- Assistance historical data and forecast (2014-2029)
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
Profit fluctuates with the property market. Profit experiences high volatility due to changes in the UK property market performance, impacting property unit trusts' profitabi...
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 2024
- Average sector operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
- Investment vs. share of economy
Data tables
- Liquidity Ratios (2018-2022)
- Coverage Ratios (2018-2022)
- Leverage Ratios (2018-2022)
- Operating Ratios (2018-2022)
- Assets (2018-2022)
- Liabilities (2018-2022)
- Cash Flow & Debt Service Ratios (2014-2029)
- Revenue per Employee (2014-2029)
- Revenue per Enterprise (2014-2029)
- Employees per Establishment (2014-2029)
- Employees per Enterprise (2014-2029)
- Average Wage (2014-2029)
- Wages/Revenue (2014-2029)
- Establishments per Enterprise (2014-2029)
- IVA/Revenue (2014-2029)
- Imports/Demand (2014-2029)
- Exports/Revenue (2014-2029)
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 (2014-2029)
- IVA (2014-2029)
- Establishments (2014-2029)
- Enterprises (2014-2029)
- Employment (2014-2029)
- Exports (2014-2029)
- Imports (2014-2029)
- Wages (2014-2029)
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.
IBISWorld prides itself on being a trusted, independent source of data, with over 50 years of experience building and maintaining rich datasets and forecasting tools. We are proud to be the keystone source of industry information for thousands of companies across the world.
Learn more about our methodology and data sourcing on the Help Center.
Frequently Asked Questions
Unlock comprehensive answers and precise data upon purchase. View purchase options.
What is the market size of the Property Unit Trusts in the UK industry in United Kingdom in 2024?
The market size of the Property Unit Trusts in the UK industry in United Kingdom is £316.7m in 2024.
How many businesses are there in the Property Unit Trusts in the UK industry in 2024?
There are 54 businesses in the Property Unit Trusts in the UK industry in United Kingdom, which has declined at a CAGR of 0.7 % between 2019 and 2024.
Has the Property Unit Trusts in the UK industry in United Kingdom grown or declined over the past 5 years?
The market size of the Property Unit Trusts in the UK industry in United Kingdom has been declining at a CAGR of 9.8 % between 2019 and 2024.
What is the forecast growth of the Property Unit Trusts in the UK industry in United Kingdom over the next 5 years?
Over the next five years, the Property Unit Trusts in the UK industry in United Kingdom is expected to decline.
What are the biggest companies in the Property Unit Trusts in the UK market in United Kingdom?
The biggest companies operating in the Property Unit Trusts market in United Kingdom are Legal and General Property Ltd, abrdn plc and M&G Real Estate Limited
What does the Property Unit Trusts in the UK in United Kingdom include?
Diversified portfolios and Retail portfolios are part of the Property Unit Trusts in the UK industry.
Which companies have the highest market share in the Property Unit Trusts in the UK in United Kingdom?
The company holding the most market share in United Kingdom is Legal and General Property Ltd.
How competitive is the Property Unit Trusts in the UK industry in United Kingdom?
The level of competition is high and increasing in the Property Unit Trusts in the UK industry in United Kingdom.
