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Electric Utilities in the UK - Market Size, Industry Analysis, Trends and Forecasts (2025-2029)

John Griffin John Griffin London, United Kingdom Last Updated: June 2025 SIC UK-D351

Revenue

£2.8tr

2025-26

£2.8tr

Past 5-Year Growth

Profit

£XXX.Xbn

Employees

2m

Businesses

138k

Wages

£XX.Xbn

Electric Utilities in the UK industry analysis

The electricity delivery process has experienced a major shift in recent years, driven by a push to reduce emissions. Governments across Europe are actively moving away from conventional sources of electricity generation, leading to a decline in the continent's dependency on fossil fuels. According to the International Energy Agency (IEA), renewables accounted for 41.7% of electricity generation in Europe in 2022, up from 32.9% in 2017. The rise of renewables has spurred an influx of renewable generators and necessitated increased investment in electricity networks. This has lifted revenue for transmission and distribution network operators.

Trends and Insights

  • The energy crisis shook the industry. Russian aggression in Ukraine rocketed gas prices in 2022, causing a spike in wholesale electricity prices and impacting revenue and profitability across the energy value chain.
  • US tariffs have the potential to drive up costs. Utilities with US exposure, like EDF and Orsted, may face project disruptions or higher capital costs, while any potential tariffs on US liquefied natural gas could drive up wholesale prices.
  • Market concentration varies throughout the electricity value chain. Efforts to promote competition and the shift to renewables have decreased competition in electricity supply and generation, though distribution and transmission remain dominated by a small number of highly regulated companies.
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Top Questions Answered in this Report

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What is the market size of the Electric Utilities industry in the United Kingdom in 2025?

The market size of the Electric Utilities industry in the United Kingdom is £2.8tr in 2025.

How many businesses are there in the Electric Utilities industry in the United Kingdom in 2025?

There are 138k businesses in the Electric Utilities industry in the United Kingdom, which has grown at a CAGR of 3.1 % between 2020 and 2025.

Has the Electric Utilities industry in the United Kingdom grown or declined over the past 5 years?

The market size of the Electric Utilities industry in the United Kingdom has been growing at a CAGR of 9.9 % between 2020 and 2025.

What is the forecast growth of the Electric Utilities industry in the United Kingdom over the next 5 years?

Over the next five years, the Electric Utilities industry in the United Kingdom is expected to grow.

What does the Electric Utilities industry in the United Kingdom include?

Electricity production and Electricity transmission are part of the Electric Utilities industry in the United Kingdom.

How competitive is the Electric Utilities industry in the United Kingdom?

The level of competition is moderate and increasing in the Electric Utilities industry in the United Kingdom.

Everything you need in one report

  • Reliable market estimates from 2015-2030
  • Competitive analysis, industry segmentation, financial benchmarks
  • Powerful SWOT, Porter’s Five Forces and risk management frameworks
  • Online membership platform with PDF, Word, Excel and PPT exports

Table of Contents

External Environment

Highlights

Trends
  • Regulation & Policy
  • Assistance

Key Takeaways

European utilities are highly regulated to protect consumers and promote sustainability. Mandates on renewable energy, emissions reductions and consumer protections ensure a balance between environmental goals and market stability.

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External Drivers

Analysis

What demographic and macroeconomic factors impact the Electric Utilities in the UK industry?

Financial Benchmarks

Highlights

Trends
  • Profit Margin
  • Average Wage
  • Largest Cost

Key Takeaways

Soaring prices have had a mixed impact on profitability. Suppliers have had to shoulder whole price increases since the start of the energy crisis, while renewable generators have collected higher profits from electricity sold to the wholesale market.

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Cost Structure

Charts
  • Share of Economy vs. Investment Matrix
  • Industry Cost Structure Benchmarks:
    • Marketing
    • Depreciation
    • Profit
    • Purchases
    • Wages
    • Rent
    • Utilities
    • Other
Analysis

What trends impact cost in the Electric Utilities in the UK industry?


Key Ratios

Data tables
  • IVA/Revenue (2015-2030)
  • Imports/Demand (2015-2030)
  • Exports/Revenue (2015-2030)
  • Revenue per Employee (2015-2030)
  • Wages/Revenue (2015-2030)
  • Employees per Establishment (2015-2030)
  • Average Wage (2015-2030)

Country Benchmarks

European Leaders & Laggards

Data Tables

Top and bottom five countries listed for each:

  • Revenue Growth (2025)
  • Business Growth (2025)
  • Job Growth (2025)

European Country Performance

Data Tables

Rankings available for 37 countries. Statistics ranked include:

  • IVA/Revenue (2025)
  • Imports/Demand (2025)
  • Exports/Revenue (2025)
  • Revenue per Employee (2025)
  • Wages/Revenue (2025)
  • Employees per Establishment (2025)
  • Average Wage (2025)

Structural Comparison

Data Tables

Trends in 37 countries benchmarked against trends in Europe

  • Concentration
  • Competition
  • Barriers to Entry
  • Buyer Power
  • Supplier Power
  • Volatility
  • Capital Intensity
  • Innovation
  • Life Cycle

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)

Methodology

Where does IBISWorld source its data?

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