UK’s entertainment and media revenue to reach £100bn by 2027

The entertainment and media (E&M) sector in the UK is expected to produce £100bn of revenue by 2027, according to PwC’s  latest report.

PwC’s Global Entertainment & Media (E&M) Outlook 2023-2027 report has forecasted E&M revenue is to reach £85bn this year with growth forecast at a compound annual growth rate of 4% over the next four years.

PwC notes despite overall gains, rate of growth is expected to fluctuate year-to-year given variable economic conditions.

Additionally, subscription video on demand (SVoD) revenue is forecasted to grow from £3.6bn this year to £4.7bn by 2027. It is expected in 2025 SVoD (£4.2bn) will overtake TV subscriptions (£4.1bn) in terms of revenue, with the shift from linear tv to streaming.

Mary Shelton Rose, partner and UK Technology, Media and Telecoms Leader at PwC, said: “2022 was a challenging year for the UK entertainment and media industry as the economy struggled to return to normality. In the midst of continued change and disruption, the industry reassessed its strategies and refocused on core operations.”

She added, “For years, the overarching story in E&M has been a technology-inspired shift to digital and mobile. But this year, very quickly, a new force is coming into focus: Generative AI. Going forward, leaders must evaluate and embrace the potential power of AI holistically as an enabler for productivity and creativity.”