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(Transportation-News.com, June 10, 2016 ) The UK’s defense expenditure stood at US$60 billion in 2012 and decreased to US$54.4 billion in 2016, recording a negative CAGR of 2.42%. This is primarily due to consistent defense expenditure cuts by the government, with the aim of reducing the country’s overall expenditure. However, this trend is expected to change from 2017-onwards when a steady increase is expected owing to procurements and strengthening the country’s overall defense system. Over the forecast period, the country’s defense expenditure is expected to register a positive CAGR of 3.09% and, cumulatively, the country is estimated to spend US$305.5 billion.
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Key Findings
During 2012–2016, the UK’s defense expenditure registered negative growth of -2.42%, decreasing from US$60 billion in 2012 to US$54.4 billion in 2016
Defense expenditure is anticipated to register a positive CAGR of 3.09% over 2017–2021and reach a value of US$65.2 billion in 2021
Over the forecast period, the country’s budget for homeland security is expected to be US$111.9 billion cumulatively
The key areas of investment are expected to be submarine-ballistic, multi-role aircraft, IT-services networking, facilities management, and multi-mission helicopter MRO
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Synopsis
Strategic Defence Intelligence’s report - Future of the UK Defense Industry – Market Attractiveness, Competitive Landscape and Forecasts to 2021 offers detailed analysis of the industry with market size forecasts from 2017–2021. This report sheds light on factors that influence demand in the industry, key market trends, and challenges faced by industry participants.
In particular, it provides an in-depth analysis of the following:
Defense industry market size and drivers: detailed analysis of the defense industry during 2017–2021, including highlights of the demand drivers and growth stimulators. It also provides a snapshot of the country’s expenditure and modernization patterns
Budget allocation and key challenges: insights into procurement schedules formulated within the country and a breakdown of the defense budget with respect to the army, navy, and air force. It also details the key challenges faced by defense market participants within the country
Porter’s Five Force analysis of the defense industry: analysis of the market characteristics by determining the bargaining power of suppliers, buyers, threat of substitution, intensity of rivalry, and barriers to entry
Import and Export Dynamics: analysis of prevalent trends in the country’s imports and exports over the last five years
Market opportunities: details of the top five defense investment opportunities from 2016 to 2026
Competitive landscape and strategic insights: including an overview of key players, together with insights such as key alliances, strategic initiatives, and a brief financial analysis
Reasons To Buy
Identify and track the global defense market and make regional comparisons to effectively target new revenue streams
Understand the importance of being led by the defense ministries in the military procurement market and define your strategies with insight on what your customers really want by analyzing recent orders, technical specifications, and the country’s expected investment pattern during 2017–2021
Make correct business decisions based on detailed analysis of the defense industry from 2017–2021,which includes the total competitive landscape of the sector with detailed profiles of the top domestic and foreign defense manufacturers along with information about their products, alliances, recent contract wins, and financial analysis
Determine prospective investment areas by gaining an in-depth understanding of the industry in terms of market opportunities
Channel resources by identifying various military requirements that are expected to generate revenues across different sectors during 2017–2021
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