UK’s fashion and textile industry has emerged as a substantial economic force, contributing a staggering £ 62 billion to the country’s GDP, as disclosed by a new report by the trade body UKFT.

Oxford Economics’ comprehensive study concluded that this sector accounts for one in every £ 34 total gross value-added contribution. It plays a pivotal role in job creation, supporting one in every 25 jobs. Furthermore, it contributes £ 1 in every £ 30 of HMRC’s total tax receipts for the year 2021.

This milestone study cements the UK fashion and textile industry as one of the largest sectors in the country, with its influence spanning the world, and examines its significant economic impact, social contribution and environmental sustainability.

This industry can be categorised into ‘ creation and production’  and ‘ distribution, retail, and aftercare’ . The industry employs approximately 260,000 people in design, development, and manufacturing and one million in distribution, retail, and aftercare.

It also plays a significant role in the employment of women, young individuals, and even people beyond retirement, employing 540,000 women, 197,000 young workers, and 52,000 over-65s.

The industry’s presence has extended nationwide, generating jobs in areas such as London, the North West, Yorkshire, the Humber, and the South West, as well as Scotland, Wales, and Northern Ireland.

While challenges such as international trade barriers, skills shortages, training investment gaps and sustainability hurdles remain, this sector has the potential to help bolster the economic growth by an additional £ 15 billion in GVA, generate 100,000 more jobs, and contribute £ 5 billion more in tax receipts if it reverts to its 2019 scale.

“This report highlights for the first time the vital contribution that the fashion and textile industry makes to the UK economy and society as a whole, and its potential for future growth and positive impact. With the right support, the industry stands poised to lead the way for post-covid recovery, emphasising its resilience and adaptability”, stated Adam Mansell, CEO of UKFT, with further insights to be shared at an event with London’s Deputy Mayor for Culture and the Creative Industries, Justine Simons OBE.