British Beauty Council unveils 2025 Value of Beauty report

The UK Beauty and Personal Care sector made a total GDP contribution to the UK economy of £30.4 billion in 2024, according to the latest Value of Beauty report. A 9 per cent increase year on year, the total represents 1.1 per cent of the country’s entire GDP.

Commissioned by the British Beauty Council, the report reveals that the beauty sector’s GDP contribution outpaces the UK economy by four times.

The annual Value of Beauty report is compiled by Oxford Economics. It shows the economic impact of the personal care industry, which is made up of retailers, professional services, brands and manufacturers.

Last year also saw an 8 per cent increase in consumer spending across the personal care industry, growing to £32.4 billion – a significant increase even after adjusting for inflation.

“The UK beauty and personal care sector is supporting a growing share of the country’s GDP, jobs and tax revenue,” said Vasilis Douzenis, associate director of Oxford Economics’ Economic Impact department.

“Beauty now directly contributes a larger share of GDP than the sports, amusement and recreation sector. It also employs more people than the publishing and broadcasting sector.”

The beauty sector workforce

The beauty industry directly employed 496,000 workers in 2024, an 11 per cent increase year on year. This figure is higher than the pre-pandemic peak of 478,000 in 2019.

In 2024 the total footprint of the industry extended to almost 700,000 jobs. However, job growth is set to slow in 2025. It is predicted there will be a 2 per cent downturn in overall jobs to 681,000.

Future projections

It is predicted that the personal care industry will support a total GDP contribution of £31.5 billion in 2025 – up 3 per cent. This more conservative growth is due to an expected slowdown in household spending.

In 2024, the personal care industry supported a total of £8.6 billion in tax revenue to the UK Treasury, which is estimated to rise to £9.4 billion in 2025. This is largely driven by the rise in minimum wage and National Insurance contributions.

Decline in beauty industry exports

Over the course of 2024, exports by UK beauty and personal care manufacturers totalled £4.3 billion – and accounted for 1.3 per cent of total UK goods exports.

This is a marked decline – exports have fallen by 5.9 per cent annually since the end of 2020.

Speaking exclusively to European Spa, British Beauty Council CEO Millie Kendall said: “According to the Report we’re losing around 5.9 per cent in annual exports to the EU alone, just because of Brexit. So it’s really important we work with Government to figure out where the holes are.

“The Value of Beauty report provides concrete economic data that strengthens our position. By demonstrating the beauty industry’s economic significance and growth potential, it also serves as a promotional asset and as a tool to attract investment.

“Plus its findings underpin many of the Council’s strategic initiatives across policy, education, investment and industry perception.”

About the Value of Beauty Report

The British Beauty Council is a not-for-profit organisation dedicated to solving beauty’s shared current – and future – challenges.

In 2019, the British Beauty Council and Oxford Economics launched the first study into the value the personal care industry creates for the UK economy.

Oxford Economics set out to value the British beauty industry in terms of its contribution to GDP, as well as the value of consumer spending and tax contributions. The report found that in 2018 the British beauty industry made a total contribution to UK GDP worth £28.4 billion.

Download the full 2025 report here.

European Spa’s editorial director and publisher, Sarah Camilleri said: “In my role as an British Beauty Council Media Advisory Board member, I’m proud to support the important work Millie and the team are doing to ensure our sector is recognised as a major employer and a valuable contributor to economic growth.

“Looking ahead, I’m excited about the direction the Council’s new Roadmap is setting.

“I’m especially looking forward to British Beauty Week in October, which promises to shine a well-deserved spotlight on the future of beauty and its positive purpose in the UK and beyond.”

British Beauty Week will run from October 20-26. Events across the UK will focus on:

• Key drivers propelling beauty’s future: product and manufacturing innovation, technology and AI, consumer trends and sustainability
• New products setting the agenda for the future of the beauty industry
• Consumer behaviours, creative talent and innovators of tomorrow
• The power of the beauty industry for its life-enhancing properties in supporting the wellbeing of future generations.

Activations will take place across the UK, from pop-ups to point of sale discounts.

The British Beauty Council will host a one-day Industry Hub, bringing together the brightest thinkers from the beauty world to explore the leading innovations characterising beauty’s tomorrow.

Beauty industry advocacy

Kendall believes the British Beauty Council’s work should focus on professionalising the sector. “As a hairdresser’s daughter, I’ve often felt the reputation of our industry isn’t quite what it should be – we’re seen as fluffy stuff that girls play with, not an industry to be reckoned with, and we’re not given due respect,” she said.

“We’re a great industry; we should have a fantastic reputation. The British Beauty Council has been lobbying government since we started; we’re very much focused on advocacy. Our prime objective is to work with government and business leaders to support an industry that was previously underrepresented.”

Beauty industry challenges

“Since we founded the Council, the challenges that the industry faces have not really changed,” said Kendall. “For example, education is one of our big macro challenges, aesthetics and regulation is another, as is sustainability.

“To meet these challenges head on, every year at the British Beauty Council we develop a road map – a meaningful three-year plan that defines the work that we’re going to do.

“British Beauty Week 2025 will be focused on the Future of Beauty. We aim to highlight the value of our industry for innovation, talent, technology advancements and growth. Plus we’ve got a future talent programme where we look at we look at what young people are thinking about our industry, and how we can promote careers to 12 to 18-year-olds.”

Sign up here to receive our weekly news delivered direct to your inbox