Chocolate & Confectionery Production in the UK - Market Research Report (2014-2029)
London, United Kingdom
Last Updated: August 2024
SIC C10.820Revenue
£4.5bn
Past 5-Year Growth
Profit
£XXX.Xm
Employees
18,198
Businesses
524
Wages
£XXX.Xm
Chocolate & Confectionery Production in the UK industry analysis
The chocolate and confectionery industry is divided into three categories: cocoa products, sugar confectionery products and chewing gum. These productions have faced numerous challenges such as rising health consciousness, fluctuating input costs and increased competition from imported goods, all contributing to reduced revenue. The growing popularity of organic and fairtrade practices stems from a marked increase in health awareness, leading consumers towards healthier alternatives. Consequently, manufacturers have started producing low-sugar versions of classic chocolate bars. This strategy has expanded niche markets and chocolate manufacturers' wider production of vegan and reduced-sugar products.
Trends and Insights
- Key input prices are very volatile. Fluctuations in the prices of sugar, milk and cocoa have caused chocolate producers' profits to vary considerably.
- Chocolate accounts for the largest share of industry products sold. A more health-conscious market has increased demand for low-sugar versions of popular chocolate products, resulting in some companies reformulating their chocolates.
- High disposable income in the South East. The region is a fairly wealthy area, with inhabitants generally earning high incomes, meaning residents have more money to spend on discretionary items such as chocolate.
- Small chocolate producers compete through premium products. Despite the strong position of the major chocolate producers, smaller artisan chocolate producers have thrived due to rising demand for high-quality products made using ethically sourced ingredients.
Industry Overview
Market size and recent performance (2014-2029)
Industry revenue has grown at a CAGR of 0.9 % over the past five years, to reach an estimated £4.5bn in 2024.
Trends and Insights
Ethically sourced chocolate is increasingly popular in the UK
- Consumer interest in ethics means sustainable chocolate has become more widely available and mainstream producers are starting to change their suppliers.
- Additional trends and insights available with purchase
Source: IBISWorld
Industry outlook (2024-2029)
Market size is projected to decline over the next five years.
Trends and Insights
Chocolate manufacturers prepare for HFSS restrictions with health-first product launches
- The Department for Health and Social Care announced that the promotional restrictions on HFSS (high fat, salt, sugar) products will take action in 2025.
Biggest companies in the Chocolate & Confectionery Production in the UK
| Company | Market Share (%)
2025 | Revenue (£m)
2025 |
|---|---|---|
Mars Wrigley Confectionery UK Ltd | 435.6 | |
Nestle UK Ltd | 308.3 | |
Barry Callebaut Group | 294.2 |
To view the market share and analysis for all 5 top companies in this industry, view purchase options.
Products & Services Segmentation
Source: IBISWorld
Industry revenue is measured across several distinct product and services lines, including Chocolates and chocolate bars and blocks, Sugar confectionery and Bulk chocolate and food and drink preparations. Chocolates and chocolate bars and blocks is the largest segment of the Chocolate & Confectionery Production in the UK.
Trends and Insights
Health consciousness drives demand towards low-sugar chocolate products
- Chocolates, chocolate bars and blocks refer to various forms of chocolate products made from cocoa beans, often sweetened and flavoured.
- More insights available in the full report
Widen you competitive advantage with related industries
Competitors
- Biscuit Production in the UK
Complementors
- Potato Crisps & Snacks Production in the UK
- Bread & Bakery Goods Production in the UK
- Confectionery Wholesaling in the UK
International industries
- Global Candy & Chocolate Manufacturing
- Chocolate Production in the US
- Candy Production in the US
- Industrial Chocolate Production in the US
- Chocolate Production in Canada
Table of Contents
About this industry
Industry definition
This industry is broken down into three subclasses: cocoa product production, sugar confectionery production and chewing gum production. Cocoa products include chocolate, cocoa butter, cocoa fat and cocoa oil. The sugar confectionery segment covers the production of caramel, nougat, lozenges, toffee and fondant.
What's included in this industry?
Chocolates and chocolate bars and blocksSugar confectioneryBulk chocolate and food and drink preparationsGumFilled chocolate, white chocolate, cocoa butter, fat, oil, paste and powderCompanies
Mars Wrigley Confectionery UK Ltd Nestle UK LtdBarry Callebaut GroupPurchase this report to view all 5 major companies in this industry.
Related Terms
ANTIOXIDANTCOCOA FATFUNCTIONAL CHOCOLATEIndustry Code
SIC 10.82 - Chocolate & Confectionery Production in the UK
Performance
Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.
Analyst insights
Key input prices are very volatile. Fluctuations in the prices of sugar, milk and cocoa have caused chocolate producers' profits to vary considerably.
In this chapter (4)
- Current Performance
- Outlook
- Volatility
- Life Cycle
Key metrics
- Annual Revenue, Recent Growth, Forecast, Revenue Volatility
- Number of Employees, Recent Growth, Forecast, Employees per Business, Revenue per Employee
- Number of Businesses, Recent Growth, Forecast, Employees per Business, Revenue per Business
- Total Profit, Profit Margin, Profit per Business
Charts
- Revenue, including historical (2014-2023) and forecast (2024-2029)
- Employees, including historical (2014-2023) and forecast (2024-2029)
- Businesses, including historical (2014-2023) and forecast (2024-2029)
- Profit, including historical (2014-2024)
- Industry Volatility vs. Revenue Growth
- Industry Life Cycle
Detailed analysis
- Trends in supply, demand and current events that are driving current industry performance
- Expected trends, economic factors and ongoing events that drive the industry's outlook
- Key success factors for businesses to overcome volatility
- How contribution to GDP, industry saturation, innovation, consolidation, and technology and systems influence the industry's life cycle phase.
Products and Markets
Learn about an industry's products and services, markets and trends in international trade.
Analyst insight
Chocolate accounts for the largest share of industry products sold. A more health-conscious market has increased demand for low-sugar versions of popular chocolate products, ...
In this chapter
- Products & Services
- Major Markets
- International Trade
Key metrics
- Largest market segment and value in 2024
- Product innovation level
- Total imports, level and trend
- Total exports, level and trend
- Trade Balance
Charts
- Products & services segmentation in 2024
- Major market segmentation in 2024
- International trade, including imports by country and exports by country
Detailed analysis
- Trends impacting the recent performance of the industry's various segments
- Innovations in the industry's product or service offering, specialization or delivery method
- Key factors that successful businesses consider in their offerings
- Buying segments and key trends influencing demand for industry products and services
- Recent trends in import and export volumes, country of origin or destination, and expected future trends
Geographic Breakdown
Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.
Analyst insights
High disposable income in the South East. The region is a fairly wealthy area, with inhabitants generally earning high incomes, meaning residents have more money to spend on ...
In this chapter (1)
- Business Locations
Charts
- Share of revenue, establishment, wages and employment in each region
- Share of population compared to establishments in each region in 2024
Tables
- Number and share of establishments in each region in 2024
- Number and share of revenue each region accounts for in 2024
- Number and share of wages each region accounts for in 2024
- Number and share of employees in each region in 2024
Detailed analysis
- Geographic spread of the industry across Europe, and trends associated with changes in the business landscape
- Key success factors for businesses to use location to their advantage
Competitive Forces
Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.
Analyst insights
Small chocolate producers compete through premium products. Despite the strong position of the major chocolate producers, smaller artisan chocolate producers have thrived due...
In this chapter (4)
- Concentration
- Barriers to Entry
- Substitutes
- Buyer & Supplier Analysis
Key metrics
- Industry concentration level
- Industry competition level and trend
- Barriers to entry level and trend
- Substitutes level and trend
- Buyer power level and trend
- Supplier power level and trend
Charts
- Market share concentration among the top 4 suppliers from 2019-2024
- Supply chain including upstream supplying industries and downstream buying industries, flow chart
Detailed analysis
- Factors impacting the industry’s level of concentration, such as business distribution, new entrants, or merger and acquisition activity.
- Key success factors for businesses to manage the competitive environment of the industry.
- Challenges that potential industry entrants face such as legal, start-up costs, differentiation, labor/capital intensity and capital expenses.
- Key success factors for potential entrants to overcome barriers to entry.
- Competitive threats from potential substitutes for the industry’s own products and services.
- Key success factors for how successful businesses can compete with substitutes.
- Advantages that buyers have to keep favorable purchasing conditions.
- Advantages that suppliers have to maintain favorable selling conditions.
- Key success factors for how businesses can navigate buyer and supplier power.
Companies
Learn about the performance of the top companies in the industry.
Analyst insights
Mars is catering to more health-conscious consumers. To attract health-conscious and ethical consumers, the company has cut the calorie count of its products and made its Mal...
In this chapter
- Market Share Concentration
- Companies
- Company Spotlights
Charts
- Industry market share by company in 2020 through 2024
- Major companies in the industry, including market share, revenue, profit and profit margin in 2024
- Overview of Mars Wrigley Confectionery UK Ltd 's performance by revenue, market share and profit margin from 2018 through 2024
- Overview of Nestle UK Ltd's performance by revenue, market share and profit margin from 2018 through 2024
- Overview of Barry Callebaut Group 's performance by revenue, market share and profit margin from 2018 through 2024
- Overview of revenue, market share and profit margin trend for 2 additional companies
Detailed analysis
- Description and key data for Mars Wrigley Confectionery UK Ltd , and factors influencing its performance in the industry
- Description and key data for Nestle UK Ltd, and factors influencing its performance in the industry
- Description and key data for Barry Callebaut Group , and factors influencing its performance in the industry
- Description, key data and performance trends for 2 additional companies
External Environment
Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.
Analyst insights
Disposable income falling due to surging inflation. As spending on chocolate and confectionery is discretionary, demand for chocolate products declines when disposable income...
In this chapter
- External Drivers
- Regulation & Policy
- Assistance
Key metrics
- Regulation & policy level and trend
- Assistance level and trend
Charts
- Regulation & Policy historical data and forecast (2014-2029)
- Assistance historical data and forecast (2014-2029)
Detailed analysis
- Demographic and macroeconomic factors influencing the industry, including Regulation & Policy and Assistance
- Major types of regulations, regulatory bodies, industry standards or specific regulations impacting requirements for industry operators
- Key governmental and non-governmental groups or policies that may provide some relief for industry operators.
Financial Benchmarks
View average costs for industry operators and compare financial data against an industry's financial benchmarks over time.
Analyst insights
Rising input prices constrain profit. Variations in input price directly affect chocolate producers' profit because it is difficult for them to pass higher costs on to their ...
In this chapter
- Cost Structure
- Financial Ratios
- Key Ratios
Key metrics
- Profit margin, and how it compares to the sector-wide margin
- Average wages, and how it compares to the sector-wide average wage
- Largest cost component as a percentage of revenue
- Industry average ratios for days' receivables, industry coverage and debt-to-net-worth ratio
Charts
- Average industry operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
- Average sector operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
- Investment vs. share of economy
Data tables
- Liquidity Ratios (2018-2022)
- Coverage Ratios (2018-2022)
- Leverage Ratios (2018-2022)
- Operating Ratios (2018-2022)
- Assets (2018-2022)
- Liabilities (2018-2022)
- Cash Flow & Debt Service Ratios (2014-2029)
- Revenue per Employee (2014-2029)
- Revenue per Enterprise (2014-2029)
- Employees per Establishment (2014-2029)
- Employees per Enterprise (2014-2029)
- Average Wage (2014-2029)
- Wages/Revenue (2014-2029)
- Establishments per Enterprise (2014-2029)
- IVA/Revenue (2014-2029)
- Imports/Demand (2014-2029)
- Exports/Revenue (2014-2029)
Detailed analysis
- Trends in the cost component for industry operators and their impact on industry costs and profitability
Key Statistics
Industry Data
Data Tables
Including values and annual change:
- Revenue (2014-2029)
- IVA (2014-2029)
- Establishments (2014-2029)
- Enterprises (2014-2029)
- Employment (2014-2029)
- Exports (2014-2029)
- Imports (2014-2029)
- Wages (2014-2029)
Methodology
How are IBISWorld reports created?
IBISWorld has been a leading provider of trusted industry research for over 50 years to the most successful companies worldwide. With offices in Australia, the United States, the United Kingdom, Germany and China, we are proud to have local teams of analysts that conduct research, data analysis and forecasting to produce data-driven industry reports.
Our analysts start with official, verified and publicly available sources of data to build the most accurate picture of each industry. Analysts then leverage their expertise and knowledge of the local markets to synthesize trends into digestible content for IBISWorld readers. Finally, each report is reviewed by one of IBISWorld’s editors, who provide quality assurance to ensure accuracy and readability.
IBISWorld relies on human-verified data and human-written analysis to compile each standard industry report. We do not use generative AI tools to write insights, although members can choose to leverage AI-based tools within the platform to generate additional analysis formats.
What data sources do IBISWorld analysts use?
Each industry report incorporates data and research from government databases, industry-specific sources, industry contacts, and our own proprietary database of statistics and analysis to provide balanced, independent and accurate insights.
Key data sources in the UK include:
- Office for National Statistics
- Office for Budget Responsibility
- Bank of England
Analysts also use industry specific sources to complement catch-all sources, although their perspective may focus on a particular organization or representative body, rather than a clear overview of all industry operations. However, when balanced against other perspectives, industry-specific sources provide insights into industry trends.
These sources include:
- Industry and trade associations
- Industry federations or regulators
- Major industry players annual or quarterly filings
Finally, IBISWorld’s global data scientists maintain a proprietary database of macroeconomic and demand drivers, which our analysts use to help inform industry data and trends. They also maintain a database of statistics and analysis on thousands of industries, which has been built over our more than 50-year history and offers comprehensive insights into long-term trends.
How does IBISWorld forecast its data?
IBISWorld’s analysts and data scientists use the sources above to create forecasts for our proprietary datasets and industry statistics. Depending on the dataset, they may use regression analysis, multivariate analysis, time-series analysis or exponential smoothing techniques to project future data for the industry or driver. Additionally, analysts will leverage their local knowledge of industry operating and regulatory conditions to impart their best judgment on the forecast model.
IBISWorld prides itself on being a trusted, independent source of data, with over 50 years of experience building and maintaining rich datasets and forecasting tools. We are proud to be the keystone source of industry information for thousands of companies across the world.
Learn more about our methodology and data sourcing on the Help Center.
Frequently Asked Questions
Unlock comprehensive answers and precise data upon purchase. View purchase options.
What is the market size of the Chocolate & Confectionery Production in the UK industry in United Kingdom in 2024?
The market size of the Chocolate & Confectionery Production in the UK industry in United Kingdom is £4.5bn in 2024.
How many businesses are there in the Chocolate & Confectionery Production in the UK industry in 2024?
There are 524 businesses in the Chocolate & Confectionery Production in the UK industry in United Kingdom, which has grown at a CAGR of 3.9 % between 2019 and 2024.
Has the Chocolate & Confectionery Production in the UK industry in United Kingdom grown or declined over the past 5 years?
The market size of the Chocolate & Confectionery Production in the UK industry in United Kingdom has been growing at a CAGR of 0.9 % between 2019 and 2024.
What is the forecast growth of the Chocolate & Confectionery Production in the UK industry in United Kingdom over the next 5 years?
Over the next five years, the Chocolate & Confectionery Production in the UK industry in United Kingdom is expected to decline.
What are the biggest companies in the Chocolate & Confectionery Production in the UK market in United Kingdom?
The biggest companies operating in the Chocolate & Confectionery Production market in United Kingdom are Mars Wrigley Confectionery UK Ltd , Nestle UK Ltd and Barry Callebaut Group
What does the Chocolate & Confectionery Production in the UK in United Kingdom include?
Chocolates and chocolate bars and blocks and Sugar confectionery are part of the Chocolate & Confectionery Production in the UK industry.
Which companies have the highest market share in the Chocolate & Confectionery Production in the UK in United Kingdom?
The company holding the most market share in United Kingdom is Mars Wrigley Confectionery UK Ltd .
How competitive is the Chocolate & Confectionery Production in the UK industry in United Kingdom?
The level of competition is high and increasing in the Chocolate & Confectionery Production in the UK industry in United Kingdom.
