UK Supply Chain Management Market Research Report

UK Supply Chain Management Market Overview:

The UK supply chain management market size reached USD 1.7 Billion in 2024. Looking forward, IMARC Group expects the market to reach USD 4.6 Billion by 2033, exhibiting a growth rate (CAGR) of 11.90% during 2025-2033. The market is primarily driven by technological advancements, supportive government regulatory changes, and increased e-commerce activity enhancing operational efficiencies and expanding market opportunities across various sectors.

UK Supply Chain Management Market Trends:

E-commerce Growth

According to the International Trade Administration, the UK e-commerce sector is projected to grow at an average annual rate of 12.6% through to 2025. It ranks as the third-largest e-commerce market worldwide, trailing behind China and the U.S. As of January 2021, e-commerce transactions accounted for 36.3% of the total retail market in the UK which is forecasted to grow to reach $285.60 Billion by 2025. Additionally, the leading e-commerce categories in the UK include fashion, electronics, toys, hobby & DIY, beauty, health & care, furniture, media, food & beverages. In 2022, the UK has recorded the peak year-on-year growth of online sales since the year 2007 with a growth rate of 36%.  This shift necessitates advanced supply chain management solutions to balance the increasing online orders for numerous firms. Besides, efficient logistics and delivery systems are essential for maintaining a competitive advantage and meeting consumer expectations for speedy and accurate deliveries. Furthermore, investment in advanced software and systems of the supply chain are seamlessly integrated with the e-commerce platform to optimize inventory management and streamline operations from warehousing to last-mile delivery. This integration is essential for managing the current volume and for scaling operations in anticipation of future growth in online shopping, further propelling the supply chain management market in the UK.

Government Regulatory Changes

The UK's departure from the European Union has led to significant changes in customs and trade regulations, presenting challenges and opportunities for the supply chain management market. As per UK Build Back Better: our plan for growth, on 31 December 2020, the UK Global Tariff (UKGT) replaced the EU’s Common External Tariff (CET) and represents the UK's first independent tariff schedule in nearly 50 years. This new schedule is designed to foster economic growth, the UKGT is typically simpler, more user-friendly, and lower than the CET, and it is denominated in pounds instead of euros. It has been crafted to meet the specific needs of the UK economy, aiding businesses and their supply chains by simplifying and reducing the cost of importing goods from abroad. Moreover, the UKGT has increased the proportion of tariff lines with zero import tariffs; nearly 50% of product lines are now zero-rated, a substantial increase from 27% under the EU’s CET. Notably, the UKGT eliminates tariffs on approximately £30 Billion worth of production input imports, supporting UK business supply chains across the country. Along with this, the UK removes tariffs on £10 Billion worth of imports that have minimal to no domestic production in the UK, thereby reducing costs for UK consumers. As businesses strive to maintain smooth operations across borders, the demand for integrated supply chain solutions is influencing market growth. These systems are crucial for companies to adapt to new regulations quickly, mitigate risks associated with compliance errors, and optimize their logistics and customs processes.

UK Supply Chain Management Market News:

• On 9 September 2024, according to the Department of Business and Trade, the United Kingdom, the United States, and Australia formalized their commitment to bolster strategic collaboration through the signing of a Memorandum of Understanding (MoU). This agreement inaugurates a new trilateral partnership aimed at enhancing the security of critical supply chains. Moreover, the creation of the Australia-United Kingdom-United States Supply Chain Resilience Cooperation Group is included in the MoU. This entity will focus on collaborative efforts in data sharing and coordinated actions to fortify resilience within key supply chains.
• On 8 August 2024, Wincanton announced a five-year contract renewal with the Co-op, a leading convenience retailer, extending a partnership that has flourished for over three decades. Under this renewed agreement, Wincanton will maintain its role as a critical partner, managing facilities and distribution operations from Co-op’s 340,000 sq. ft. regional distribution center in Wellingborough. Continuing its service, Wincanton will supply nearly 350 Co-op stores throughout the Midlands, South East, and East of England, delivering over 750,000 cases weekly, including chilled, ambient, and frozen products.

UK Supply Chain Management Market Segmentation:

IMARC Group provides an analysis of the key trends in each segment of the market, along with forecasts at the country level for 2025-2033. Our report has categorized the market based on component, deployment mode, enterprise size, and industry vertical.

Component Insights:

• Solution
  • Transportation Management System
  • Planning and Analytics
  • Warehouse and Inventory Management System
  • Procurement and Sourcing
  • Manufacturing Execution System
• Services
  • Professional Services
  • Managed Services
     

The report has provided a detailed breakup and analysis of the market based on the component. This includes solution (transportation management system, planning and analytics, warehouse and inventory management system, procurement and sourcing, and manufacturing execution system) and services (professional services and managed services).

Deployment Mode Insights:

• On-premises
• On-demand
   

A detailed breakup and analysis of the market based on the deployment mode have also been provided in the report. This includes on-premises, and on-demand.

Enterprise Size Insights:

• Small and Medium Enterprises (SMEs)
• Large Enterprises
   

The report has provided a detailed breakup and analysis of the market based on the enterprise size. This includes small and medium enterprises (SMEs), and large enterprises.

Industry Vertical Insights:

• Retail and Consumer Goods
• Healthcare and Pharmaceuticals
• Manufacturing
• Food and Beverages
• Transportation and Logistics
• Automotive
• Others
   

A detailed breakup and analysis of the market based on the industry vertical have also been provided in the report. This includes retail and consumer goods, healthcare and pharmaceuticals, manufacturing, food and beverages, transportation and logistics, automotive and others.

Regional Insights:

• London
• South East
• North West
• East of England
• South West
• Scotland
• West Midlands
• Yorkshire and The Humber
• East Midlands
• Others
   

The report has also provided a comprehensive analysis of all the major regional markets, which include London, South East, North West, East of England, South West, Scotland, West Midlands, Yorkshire and The Humber, East Midlands, and Others.

Competitive Landscape:

The market research report has also provided a comprehensive analysis of the competitive landscape. Competitive analysis such as market structure, key player positioning, top winning strategies, competitive dashboard, and company evaluation quadrant has been covered in the report. Also, detailed profiles of all major companies have been provided.

UK Supply Chain Management Market Report Coverage:

Key Questions Answered in This Report:

• How has the UK supply chain management market performed so far and how will it perform in the coming years?
• What has been the impact of COVID-19 on the UK supply chain management market?
• What is the breakup of the UK supply chain management market on the basis of component?
• What is the breakup of the UK supply chain management market on the basis of deployment mode?
• What is the breakup of the UK supply chain management market on the basis of enterprise size?
• What is the breakup of the UK supply chain management market on the basis of industry vertical?
• What are the various stages in the value chain of the UK supply chain management market? 
• What are the key driving factors and challenges in the UK supply chain management?
• What is the structure of the UK supply chain management market and who are the key players?
• What is the degree of competition in the UK supply chain management market? 

Key Benefits for Stakeholders:

• IMARC’s industry report offers a comprehensive quantitative analysis of various market segments, historical and current market trends, market forecasts, and dynamics of the UK supply chain management market from 2019-2033.
• The research report provides the latest information on the market drivers, challenges, and opportunities in the UK supply chain management market.
• Porter's five forces analysis assist stakeholders in assessing the impact of new entrants, competitive rivalry, supplier power, buyer power, and the threat of substitution. It helps stakeholders to analyze the level of competition within the UK supply chain management industry and its attractiveness.
• Competitive landscape allows stakeholders to understand their competitive environment and provides an insight into the current positions of key players in the market.