New research reveals engineering consultancy generates enough tax to pay for 200,000 nurses and employs more people than the city of Bristol.
The research conducted by Oxford Economics on behalf of the Association for Consultancy and Engineering reveals the sector as the critical backbone of national growth and productivity.
Far from the spotlight typically shone on AI, fintech or life sciences, engineering consultancy has emerged as a quiet but critical sector in the UK. According to ACE’s latest analysis, the sector contributed £39.5bn to UK GDP in 2023, supported 470,000 highly skilled jobs, and generated over £11bn in global exports.
Commenting on the findings, ACE Chief Executive Kate Jennings, said: “Engineering consultancy is not just supporting growth; it is delivering it. At a time when the UK needs productive sectors with real economic impact, our research shows this sector is already outperforming the national average and is having a significant positive impact on infrastructure, net zero, and regional development priorities.
“The analysis underlines the sector’s breadth and strategic reach, highlighting its role in designing and managing complex infrastructure, from clean energy systems and resilient water networks to hospitals, transport corridors, and defence programmes.
“The industry’s economic footprint is substantial. With annual revenues of £75bn and average salaries of £44,420, well above the UK average, engineering consultancy is not only a high-productivity sector, but a key contributor to public finances, delivering £8.4bn in annual tax revenues.”
ACE’s research notes the sector’s unique position as a cross-cutting enabler of the government’s industrial strategy's growth-driving sectors, particularly clean energy, advanced manufacturing and digital. As the fourth largest sector within the industrial strategy, as a sub-sector of professional services, its impact is significant.
However, ACE warns that systemic challenges must be addressed to unlock the sector’s full potential. Key among these are more strategic early-stage procurement, long-term planning certainty, and the recognition that engineering consultants are more than a ‘support service’ and instead are a vital ‘strategic delivery partner’.
Jennings added: “Britain’s ambitions for clean growth, global influence and high-wage employment all depend on delivery. Engineering consultants are already doing the job, but with smarter procurement and clearer long-term pipelines, they could do much more.”
ACE calls on policymakers to recognise the sector’s critical role, not only in delivering on today’s priorities, but in shaping Britain’s economic future through to 2050.
Click here to watch The Engineering Consultancy Sector: The Facts, a video exploring the latest trends and breakthroughs shaping the sector.