Country Reports·Updated Mar 17, 2026 by ERA
The UK entertainment market reached a record £12.0 billion valuation in 2024, marking twelve consecutive years of growth and a 50% increase since 2019.
Digital services and streaming now dominate the industry, accounting for 93% of total revenue, with subscription models driving over 75% of consumer spending.
Video is the largest sector at £5.0 billion, fueled by an 8.3% rise in Subscription Video on Demand (SVoD) to £4.46 billion, which successfully offset the decline in physical media.
The gaming sector contracted 4.4% to £4.61 billion, impacted by a 34.5% collapse in physical software sales and a cyclical downturn in console hardware.
Music is the fastest-growing sector at £2.4 billion, supported by a resilient physical market where vinyl LP sales grew for the 17th consecutive year to 7.1 million units.
Independent music shops have seen a significant resurgence, now accounting for 24% of total music outlets compared to just 2% in 2015.
While physical media is declining in mass-market retail, specialist and independent retailers are capturing a five-year high in physical market share for collectible and high-definition formats.
The UK entertainment market reached a record £12.0 billion valuation in 2024, marking twelve consecutive years of growth and a 50% increase since 2019.
Digital services and streaming now dominate the industry, accounting for 93% of total revenue, with subscription models driving over 75% of consumer spending.
Video is the largest sector at £5.0 billion, fueled by an 8.3% rise in Subscription Video on Demand (SVoD) to £4.46 billion, which successfully offset the decline in physical media.
The gaming sector contracted 4.4% to £4.61 billion, impacted by a 34.5% collapse in physical software sales and a cyclical downturn in console hardware.
Music is the fastest-growing sector at £2.4 billion, supported by a resilient physical market where vinyl LP sales grew for the 17th consecutive year to 7.1 million units.
Independent music shops have seen a significant resurgence, now accounting for 24% of total music outlets compared to just 2% in 2015.
While physical media is declining in mass-market retail, specialist and independent retailers are capturing a five-year high in physical market share for collectible and high-definition formats.