UK cyber sector report urges action for growth & resilience

Researchers from Imperial College London and the University of Bristol have released an independent UK Cyber Growth Action Plan outlining steps to bolster the country's cyber security sector for resilience and economic advancement.

The report, compiled by the Centre for Sectoral Economic Performance at Imperial and the University of Bristol, assesses the current state and future potential of the UK's cyber security industry. Findings show notable progress in the sector over the past year, including an 11% rise in jobs, a 12% increase in revenue, and a 21% jump in Gross Value Added (GVA).

According to the report, the UK cyber security sector generated GBP £13.2 billion in revenue, contributed GBP £7.8 billion in GVA, and provided employment for an estimated 67,300 individuals across more than 2,100 companies during 2023-24.

Despite these figures, the report concludes that cyber security remains undervalued, presenting a missed opportunity to further drive economic growth, improve resilience, and enhance the UK's global competitiveness.

Key recommendations

The UK Cyber Growth Action Plan, shaped by consultations with nearly 100 cyber sector experts, provides nine key recommendations and 24 actionable steps to develop a stronger cyber ecosystem nationwide.

Among the report's priorities are encouraging a combined cycle of resilience and growth by generating informed demand, supporting businesses through all growth stages to meet that demand, making deliberate choices about which technologies and sectors to back, and simplifying government roles related to cyber sector growth and resilience.

Cyber security has been recognised as one of six priority frontier technologies under the Government's Digital And Technologies Sector Plan, itself part of the broader Modern Industrial Strategy. Following this designation, the Secretary of State for Science, Innovation and Technology asked the research teams to provide the independent report and a strategic roadmap.

Risks and opportunities

The report highlights a rise in the frequency of cyber-attacks amid rapid digitalisation, referencing several high-profile UK incidents this year targeting major retailers and affecting their customers. These ongoing threats are cited as risks to the UK economy, but also as key opportunities for improvement and sector growth.

The recommendations propose cultivating a stronger culture of cyber awareness in civil society, making use of regional specialisms in cyber capability, enhancing cyber leadership, leveraging procurement as a tool to foster innovation, and utilising regulation and guidance to steer growth according to demand.

The UK Cyber Growth Action Plan has been submitted to Parliament as a Command Paper and will help inform updates to the National Cyber Strategy.

Sector perspectives

Nigel Steward, Director of the Centre for Sectoral Economic Performance at Imperial, said:

"The cyber security sector in the UK has significant growth potential, and there are clear roles for both government and the private sector identified within the UK Cyber Growth Action Plan to contribute to tapping into that potential. Supporting the sector isn't just an economic opportunity, it's essential for our national security and the resilience of businesses, so we at CSEP are very happy to have been able to produce this independent report in partnership with the University of Bristol to support the government's Modern Industrial Strategy."

Professor Rupert Shute, Director of Engagement at the Centre for Sectoral Economic Performance, underlined the collaborative approach described in the report, stating:

"CSEP's mission is to boost the performance and competitiveness of our high-growth sectors by working with industry, government and civil society to achieve that outcome. The UK is world-leading in many sectors and Cyber is one of those. We look forward to continuing our collaboration with the University of Bristol to support the UK Government and Cyber sector to implement the recommendations in the UK Cyber Growth Action Plan."

Professor Simon Shiu, Professor of Cybersecurity at the University of Bristol and leader of the report, detailed the UK's capabilities and ambitions:

"The message from across the sector is clear: the UK has the talent, ambition and opportunity to lead in cyber security. We can do this by aligning growth with resilience and making strategic choices that benefit the whole economy."

Professor Guy Poppy, Pro Vice-Chancellor for Research and Innovation at the University of Bristol, added:

"The UK's cyber sector is a driver of innovation, resilience and economic growth. This Action Plan provides a timely roadmap, recognising how emerging technologies will shape future challenges and opportunities for stakeholders. It sets out a framework for research, skills and collaboration to turn innovation into growth and nationwide impact. By combining academic excellence with enterprise and policy engagement, we can help build a stronger, more resilient cyber ecosystem."

The report's findings and proposals are due to inform both government and sector-wide strategies in the months ahead.