Home Economics Design contributes £97.4bn to the UK economic system Design Council reveals

Design contributes £97.4bn to the UK economic system Design Council reveals

Design contributes £97.4bn to the UK economic system Design Council reveals

New findings from the Design Financial system report spotlight the significance of digital design and a unbroken lack of range inside the business.

July 21, 2022
3:37 pm

July 21, 2022
3:38 pm

The design economic system contributed £97.4bn in gross worth added (GVA) to the UK economic system in 2019, new knowledge from the Design Council reveals.

The findings had been revealed within the Design Financial system report, which includes analysis undertaken by the Design Council and a spread of further sources, to point out the state of design within the UK.

The business’s contribution of £97.4bn equates to 4.9% of the entire UK GVA. This marks an increase of 73% from its 2010 GVA, which is twice the speed of the UK economic system’s progress on this interval. (GVA is outlined as the worth of products and companies produced by a sector).

In 2020, one in 20 UK employees (1.97m folks) had been employed inside the design business, which incorporates sectors comparable to product design, digital design and structure. Design abilities are additionally rising in worth throughout the economic system – 77% of designers work in non-design fields like finance or retail.

London supplies the biggest contribution in GVA at £27.18bn, whereas the South East is available in at second place with £19.73bn. Scotland in the meantime has seen the very best charge of progress (a rise of 33% to £6.79bn), rising 5 occasions the speed of the Scottish economic system between 2017 and 2019.

A map displaying the place totally different design sectors are particularly outstanding. Courtesy of the Design Council

Whereas the Design Council recognised that progress is welcome, it provides that financial enhance is not going to be useful for folks and planet except the sector is supported by “inexperienced and equitable prosperity”.

Some sectors are additionally struggling. Craft and clothes have declined 59% and 18% respectively between 2010 and 2019. The long-term impacts of COVID on the business are nonetheless not recognized, the Design Council notes.

The altering panorama of UK design exports

In 2019, design accounted for over £70bn in exports, that means that one in each ten kilos from all UK exports stemmed from the design business.

Design was value £55.9bn in GVA in service exports in 2019. This determine, which accounts for 18% of all UK service exports, covers the fee of UK design companies from abroad purchasers (comparable to a furnishings designer crafting a brand new merchandise for a world firm).

Whereas design-related service exports have grown at twice the speed of different UK industries, some design sectors have suffered since Brexit. Between 2017 and 2019, areas comparable to product and industrial design (-85%) and structure and constructed atmosphere (-26%) fell sharply.

Extra supportive worldwide commerce agreements, IP frameworks and immigration routes will must be established for these sectors to recuperate, in line with the Design Council.

Digital design continues to flourish

Digital design – which incorporates the design of apps and videogames in addition to digital manufacturing – has grown by 138% from 2010 (when its GVA was £22.7bn) to 2019 (GVA of £53.9bn). The quickest rising space of the business accounts for 866,000 jobs whereas its employees often earn round £66,000 each year.

The sector has additionally been necessary in serving to regional progress, in line with the Design Council. Digital design employment in Yorkshire and the Humber has grown 55% within the final 5 years, whereas 8,000 of the 11,000 designers in Northern Eire work inside the digital discipline.

Whereas the sector is flourishing, it additionally suffers from an absence of range; 85% of digital designers are male. This has “implications for inclusive, protected, and consultant design”, the report notes.

“Our design abilities pipeline is in danger”

Regardless of typically optimistic knowledge round financial progress, the Design Council warns that the “design abilities pipelines is in danger” due to a decline in Design and Know-how GCSEs.

Entries have fallen by 68% from 2010 (299,422 entries) to 2021 (95,694 entries). The shortage of early training places the business in danger – seven in ten designers surveyed for the analysis had a design GCSE.

That is coupled with the upward pattern in skilled levels. In line with the Design Council’s analysis, 62% of designers now maintain a level, an uptick from 58% in 2016. “There’s an pressing must diversify pathways not the design workforce so it might probably profit all,” the council says.

Lack of range

The report additionally highlighted the dearth of range inside the business; 77% of designers determine as male, a determine which has not modified since 2015. Feminine designers and people from an ethnic minority background proceed to be under-represented at senior and managerial ranges. A complete of 88% design managers are white, and solely 2% are black.

The report highlights the disparity in range throughout the business. Whereas 24% of these working in craft and clothes are disabled, solely 10% in promoting are. Some sectors had been significantly dangerous for gender inequality – solely 12% of product designers are feminine, for instance.

“The design workforce must replicate the range of the world it designers for,” says the Design Council – if not, it says services will fail customers’ wants and reinforce inequalities.

The report was a collaboration between the Design Council, BOP Consulting and the Enterprise Analysis Centre. You possibly can take a look at the complete report on the Design Financial system web site.