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United Kingdom Packaging Market

The United Kingdom Packaging Market, valued at USD 59.5 billion, is growing due to demand for eco-friendly materials, e-commerce expansion, and innovations in smart packaging technologies.

Region:Europe

Author(s):Geetanshi

Product Code:KRAD0088

Pages:99

Published On:August 2025

About the Report

Base Year 2024

United Kingdom Packaging Market Overview

  • The United Kingdom Packaging Market is valued at USD 59.5 billion, based on a five-year historical analysis. This growth is primarily driven by the increasing demand for sustainable packaging solutions, the rise of e-commerce, and the need for efficient supply chain management. The market has seen a significant shift towards eco-friendly materials, such as recyclable plastics and biodegradable packaging, and innovative designs that cater to consumer preferences for convenience and sustainability. Key drivers also include stringent government regulations on plastic usage, such as the Plastic Packaging Tax and bans on single-use plastics, which encourage the adoption of sustainable alternatives .
  • Key cities such asLondon, Manchester, and Birminghamdominate the market due to their robust industrial base, high population density, and significant consumer spending. These urban centers are hubs for various industries, including food and beverage, healthcare, and retail, which contribute to the high demand for diverse packaging solutions tailored to meet specific market needs .
  • In 2023, the UK government implemented theExtended Producer Responsibility (EPR)scheme, which mandates that producers are responsible for the entire lifecycle of their packaging. This regulation aims to encourage recycling and reduce waste, compelling companies to adopt more sustainable practices in their packaging operations .
United Kingdom Packaging Market Size

United Kingdom Packaging Market Segmentation

By Type:The packaging market can be segmented into various types, includingboxes and cartons, bags and pouches, bottles and jars, cans and containers, wraps and films, and others. Among these,boxes and cartonsare the most dominant due to their versatility and widespread use across multiple industries. The demand for eco-friendly packaging has also led to an increase in the use of recyclable materials in boxes and cartons, further solidifying their market leadership. Recent trends show a rise in the adoption of fiber-based and compostable packaging materials, especially in the food and beverage sector, as companies seek to meet sustainability targets and consumer expectations .

United Kingdom Packaging Market segmentation by Type.

By End-User:The end-user segmentation includesfood and beverage, healthcare and pharmaceuticals, personal care and cosmetics, household products, industrial goods, and others. Thefood and beverage sectoris the largest end-user, driven by the increasing demand for packaged food products and beverages. This segment's growth is fueled by changing consumer lifestyles and the rising trend of convenience foods, which require effective packaging solutions to maintain product quality and safety. Additionally, the healthcare and pharmaceuticals segment is expanding due to stricter regulations on medical packaging and the need for tamper-evident and sterile solutions .

United Kingdom Packaging Market segmentation by End-User.

United Kingdom Packaging Market Competitive Landscape

The United Kingdom Packaging Market is characterized by a dynamic mix of regional and international players. Leading participants such as Amcor plc, DS Smith Plc, Smurfit Kappa Group plc, Mondi Group, Berry Global, Inc., Sealed Air Corporation, Huhtamaki Oyj, WestRock Company, Crown Holdings, Inc., Tetra Pak International S.A., RPC Group Plc, Clondalkin Group Holdings B.V., International Paper Company, Graphic Packaging International, LLC, Sonoco Products Company contribute to innovation, geographic expansion, and service delivery in this space.

Amcor plc

1860

Zurich, Switzerland

DS Smith Plc

1940

London, United Kingdom

Smurfit Kappa Group plc

1934

Dublin, Ireland

Mondi Group

1967

London, United Kingdom

Berry Global, Inc.

1967

Evansville, Indiana, USA

Company

Establishment Year

Headquarters

Group Size (Large, Medium, or Small as per industry convention)

Revenue (GBP, latest fiscal year)

Revenue Growth Rate (%)

Market Share (%)

EBITDA Margin (%)

Return on Assets (ROA, %)

United Kingdom Packaging Market Industry Analysis

Growth Drivers

  • Increasing Demand for Sustainable Packaging:The UK packaging market is witnessing a significant shift towards sustainable solutions, driven by consumer preferences. In future, 62% of consumers reported a willingness to pay more for eco-friendly packaging, reflecting a growing trend. The UK government aims to eliminate avoidable plastic waste in future, which is expected to further boost the demand for sustainable packaging solutions. This regulatory environment is fostering innovation and investment in biodegradable and recyclable materials, enhancing market growth.
  • Growth in E-commerce and Online Retail:The e-commerce sector in the UK has seen remarkable growth, with online sales reaching approximately £125 billion in future, a 14% increase from the previous year. This surge in online shopping is driving demand for efficient and protective packaging solutions. As more consumers opt for home delivery, packaging that ensures product safety and minimizes waste is becoming essential. Companies are increasingly investing in packaging that meets the needs of e-commerce, further propelling market expansion.
  • Innovations in Packaging Technology:The UK packaging industry is experiencing rapid technological advancements, with investments in smart packaging solutions projected to reach over £1.9 billion in future. Innovations such as QR codes, temperature-sensitive materials, and tamper-evident features are enhancing consumer engagement and product safety. These technologies not only improve user experience but also provide brands with valuable data on consumer behavior, driving further investment and growth in the packaging sector.

Market Challenges

  • Rising Raw Material Costs:The UK packaging industry is facing significant challenges due to escalating raw material costs, which have increased by approximately 15% in recent periods. Factors such as supply chain disruptions and geopolitical tensions have contributed to these rising costs. This situation is pressuring manufacturers to find cost-effective solutions while maintaining quality, potentially impacting profit margins and market competitiveness in the short term.
  • Stringent Environmental Regulations:The UK government has implemented stringent environmental regulations, including the Plastic Packaging Tax, which imposes a £250 per tonne tax on plastic packaging that does not contain at least 30% recycled content. Compliance with these regulations requires significant investment in sustainable practices and materials, posing a challenge for many companies. Failure to adapt could result in financial penalties and loss of market share, complicating operational strategies.

United Kingdom Packaging Market Future Outlook

The future of the UK packaging market is poised for transformation, driven by sustainability and technological advancements. As consumer preferences shift towards eco-friendly solutions, companies will increasingly adopt circular economy practices, focusing on reducing waste and enhancing recyclability. Additionally, the integration of smart technologies in packaging will provide brands with valuable insights into consumer behavior, fostering innovation. These trends will likely create a dynamic landscape, encouraging investment and collaboration across the industry to meet evolving market demands.

Market Opportunities

  • Expansion in Biodegradable Packaging:The demand for biodegradable packaging is expected to rise significantly, with the market projected to reach over £1.2 billion in future. This growth is driven by increasing consumer awareness and regulatory support for sustainable materials. Companies investing in biodegradable solutions can capitalize on this trend, enhancing their brand image and meeting consumer expectations for environmentally friendly products.
  • Increased Investment in Smart Packaging:The smart packaging segment is anticipated to grow rapidly, with investments expected to exceed £600 million in future. This opportunity arises from the need for enhanced consumer engagement and product safety. Brands that leverage smart technologies can differentiate themselves in a competitive market, providing added value through features like real-time tracking and interactive packaging solutions.

Scope of the Report

SegmentSub-Segments
By Type

Boxes and Cartons

Bags and Pouches

Bottles and Jars

Cans and Containers

Wraps and Films

Others

By End-User

Food and Beverage

Healthcare and Pharmaceuticals

Personal Care and Cosmetics

Household Products

Industrial Goods

Others

By Material

Paper and Cardboard

Plastic

Metal

Glass

Others

By Application

Food Packaging

Beverage Packaging

Medical Packaging

Industrial Packaging

Personal Care Packaging

Others

By Distribution Channel

Online Retail

Supermarkets and Hypermarkets

Convenience Stores

Direct Sales

Others

By Price Range

Economy

Mid-range

Premium

Others

By Geography

England

Scotland

Wales

Northern Ireland

Key Target Audience

Investors and Venture Capitalist Firms

Government and Regulatory Bodies (e.g., Environment Agency, Food Standards Agency)

Manufacturers and Producers

Distributors and Retailers

Packaging Material Suppliers

Logistics and Supply Chain Companies

Industry Associations (e.g., British Plastics Federation, UK Packaging Association)

Financial Institutions

Players Mentioned in the Report:

Amcor plc

DS Smith Plc

Smurfit Kappa Group plc

Mondi Group

Berry Global, Inc.

Sealed Air Corporation

Huhtamaki Oyj

WestRock Company

Crown Holdings, Inc.

Tetra Pak International S.A.

RPC Group Plc

Clondalkin Group Holdings B.V.

International Paper Company

Graphic Packaging International, LLC

Sonoco Products Company

Table of Contents

Market Assessment Phase

1. Executive Summary and Approach


2. United Kingdom Packaging Market Overview

2.1 Key Insights and Strategic Recommendations

2.2 United Kingdom Packaging Market Overview

2.3 Definition and Scope

2.4 Evolution of Market Ecosystem

2.5 Timeline of Key Regulatory Milestones

2.6 Value Chain & Stakeholder Mapping

2.7 Business Cycle Analysis

2.8 Policy & Incentive Landscape


3. United Kingdom Packaging Market Analysis

3.1 Growth Drivers

3.1.1 Increasing Demand for Sustainable Packaging
3.1.2 Growth in E-commerce and Online Retail
3.1.3 Innovations in Packaging Technology
3.1.4 Regulatory Push for Eco-friendly Materials

3.2 Market Challenges

3.2.1 Rising Raw Material Costs
3.2.2 Stringent Environmental Regulations
3.2.3 Supply Chain Disruptions
3.2.4 Competition from Alternative Packaging Solutions

3.3 Market Opportunities

3.3.1 Expansion in Biodegradable Packaging
3.3.2 Growth in the Food and Beverage Sector
3.3.3 Increased Investment in Smart Packaging
3.3.4 Rising Demand for Custom Packaging Solutions

3.4 Market Trends

3.4.1 Shift Towards Circular Economy Practices
3.4.2 Adoption of Digital Printing Technologies
3.4.3 Increased Focus on Supply Chain Transparency
3.4.4 Growth of Reusable Packaging Solutions

3.5 Government Regulation

3.5.1 Plastic Packaging Tax Implementation
3.5.2 Extended Producer Responsibility Regulations
3.5.3 Waste Management and Recycling Policies
3.5.4 Compliance with EU Packaging Directives

4. SWOT Analysis


5. Stakeholder Analysis


6. Porter's Five Forces Analysis


7. United Kingdom Packaging Market Market Size, 2019-2024

7.1 By Value

7.2 By Volume

7.3 By Average Selling Price


8. United Kingdom Packaging Market Segmentation

8.1 By Type

8.1.1 Boxes and Cartons
8.1.2 Bags and Pouches
8.1.3 Bottles and Jars
8.1.4 Cans and Containers
8.1.5 Wraps and Films
8.1.6 Others

8.2 By End-User

8.2.1 Food and Beverage
8.2.2 Healthcare and Pharmaceuticals
8.2.3 Personal Care and Cosmetics
8.2.4 Household Products
8.2.5 Industrial Goods
8.2.6 Others

8.3 By Material

8.3.1 Paper and Cardboard
8.3.2 Plastic
8.3.3 Metal
8.3.4 Glass
8.3.5 Others

8.4 By Application

8.4.1 Food Packaging
8.4.2 Beverage Packaging
8.4.3 Medical Packaging
8.4.4 Industrial Packaging
8.4.5 Personal Care Packaging
8.4.6 Others

8.5 By Distribution Channel

8.5.1 Online Retail
8.5.2 Supermarkets and Hypermarkets
8.5.3 Convenience Stores
8.5.4 Direct Sales
8.5.5 Others

8.6 By Price Range

8.6.1 Economy
8.6.2 Mid-range
8.6.3 Premium
8.6.4 Others

8.7 By Geography

8.7.1 England
8.7.2 Scotland
8.7.3 Wales
8.7.4 Northern Ireland

9. United Kingdom Packaging Market Competitive Analysis

9.1 Market Share of Key Players

9.2 Cross Comparison of Key Players

9.2.1 Company Name
9.2.2 Group Size (Large, Medium, or Small as per industry convention)
9.2.3 Revenue (GBP, latest fiscal year)
9.2.4 Revenue Growth Rate (%)
9.2.5 Market Share (%)
9.2.6 EBITDA Margin (%)
9.2.7 Return on Assets (ROA, %)
9.2.8 Product Portfolio Breadth (Number of Product Categories)
9.2.9 Sustainability Initiatives (e.g., % Recyclable Materials, Carbon Reduction Targets)
9.2.10 R&D Investment (% of Revenue)
9.2.11 UK Manufacturing Footprint (Number of Facilities/Locations)
9.2.12 Customer Segments Served

9.3 SWOT Analysis of Top Players

9.4 Pricing Analysis

9.5 Detailed Profile of Major Companies

9.5.1 Amcor plc
9.5.2 DS Smith Plc
9.5.3 Smurfit Kappa Group plc
9.5.4 Mondi Group
9.5.5 Berry Global, Inc.
9.5.6 Sealed Air Corporation
9.5.7 Huhtamaki Oyj
9.5.8 WestRock Company
9.5.9 Crown Holdings, Inc.
9.5.10 Tetra Pak International S.A.
9.5.11 RPC Group Plc
9.5.12 Clondalkin Group Holdings B.V.
9.5.13 International Paper Company
9.5.14 Graphic Packaging International, LLC
9.5.15 Sonoco Products Company

10. United Kingdom Packaging Market End-User Analysis

10.1 Procurement Behavior of Key Ministries

10.1.1 Government Procurement Policies
10.1.2 Budget Allocations for Packaging
10.1.3 Supplier Selection Criteria
10.1.4 Sustainability Considerations

10.2 Corporate Spend on Infrastructure & Energy

10.2.1 Investment Trends in Packaging Infrastructure
10.2.2 Energy Efficiency Initiatives
10.2.3 Budgeting for Packaging Innovations

10.3 Pain Point Analysis by End-User Category

10.3.1 Cost Management Challenges
10.3.2 Quality Assurance Issues
10.3.3 Compliance with Regulations

10.4 User Readiness for Adoption

10.4.1 Awareness of Sustainable Options
10.4.2 Training and Support Needs
10.4.3 Technology Adoption Rates

10.5 Post-Deployment ROI and Use Case Expansion

10.5.1 Measurement of ROI Metrics
10.5.2 Case Studies of Successful Implementations
10.5.3 Future Use Case Opportunities

11. United Kingdom Packaging Market Future Size, 2025-2030

11.1 By Value

11.2 By Volume

11.3 By Average Selling Price


Go-To-Market Strategy Phase

1. Whitespace Analysis + Business Model Canvas

1.1 Market Gaps Identification

1.2 Value Proposition Development

1.3 Revenue Streams Analysis

1.4 Cost Structure Evaluation

1.5 Key Partnerships Exploration

1.6 Customer Segmentation

1.7 Channels of Distribution


2. Marketing and Positioning Recommendations

2.1 Branding Strategies

2.2 Product USPs

2.3 Target Market Identification

2.4 Communication Strategies

2.5 Digital Marketing Approaches


3. Distribution Plan

3.1 Urban Retail Strategies

3.2 Rural NGO Tie-ups

3.3 Logistics and Supply Chain Management

3.4 Distribution Channel Optimization


4. Channel & Pricing Gaps

4.1 Underserved Routes

4.2 Pricing Bands Analysis

4.3 Competitor Pricing Strategies


5. Unmet Demand & Latent Needs

5.1 Category Gaps Identification

5.2 Consumer Segments Analysis

5.3 Emerging Trends and Needs


6. Customer Relationship

6.1 Loyalty Programs

6.2 After-sales Service Strategies

6.3 Customer Feedback Mechanisms


7. Value Proposition

7.1 Sustainability Initiatives

7.2 Integrated Supply Chains

7.3 Competitive Advantages


8. Key Activities

8.1 Regulatory Compliance

8.2 Branding Initiatives

8.3 Distribution Setup


9. Entry Strategy Evaluation

9.1 Domestic Market Entry Strategy

9.1.1 Product Mix Considerations
9.1.2 Pricing Band Strategy
9.1.3 Packaging Innovations

9.2 Export Entry Strategy

9.2.1 Target Countries Analysis
9.2.2 Compliance Roadmap Development

10. Entry Mode Assessment

10.1 Joint Ventures

10.2 Greenfield Investments

10.3 Mergers & Acquisitions

10.4 Distributor Model Evaluation


11. Capital and Timeline Estimation

11.1 Capital Requirements Analysis

11.2 Timelines for Market Entry


12. Control vs Risk Trade-Off

12.1 Ownership vs Partnerships

12.2 Risk Management Strategies


13. Profitability Outlook

13.1 Breakeven Analysis

13.2 Long-term Sustainability Strategies


14. Potential Partner List

14.1 Distributors

14.2 Joint Ventures

14.3 Acquisition Targets


15. Execution Roadmap

15.1 Phased Plan for Market Entry

15.1.1 Market Setup
15.1.2 Market Entry
15.1.3 Growth Acceleration
15.1.4 Scale & Stabilize

15.2 Key Activities and Milestones

15.2.1 Milestone Planning
15.2.2 Activity Tracking

Research Methodology

ApproachModellingSample

Phase 1: Approach1

Desk Research

  • Analysis of industry reports from UK packaging associations and market research firms
  • Review of government publications on packaging regulations and sustainability initiatives
  • Examination of trade publications and market analysis articles focusing on packaging trends

Primary Research

  • Interviews with packaging manufacturers and suppliers to gather insights on market dynamics
  • Surveys with retailers to understand packaging preferences and consumer behavior
  • Field interviews with logistics and supply chain experts to assess packaging efficiency

Validation & Triangulation

  • Cross-validation of data through multiple sources including trade associations and government reports
  • Triangulation of findings from primary interviews with secondary data trends
  • Sanity checks conducted through expert panel reviews and feedback sessions

Phase 2: Market Size Estimation1

Top-down Assessment

  • Estimation of total packaging market size based on national consumption data and industry growth rates
  • Segmentation of the market by packaging type (e.g., flexible, rigid, and paper-based) and end-user industries
  • Incorporation of macroeconomic factors influencing packaging demand, such as e-commerce growth

Bottom-up Modeling

  • Collection of sales data from leading packaging companies to establish volume benchmarks
  • Analysis of production costs and pricing strategies across different packaging materials
  • Calculation of market size based on unit sales and average selling prices for each segment

Forecasting & Scenario Analysis

  • Development of forecasting models using historical data and projected growth rates for key sectors
  • Scenario analysis based on potential regulatory changes and shifts in consumer preferences
  • Creation of baseline, optimistic, and pessimistic forecasts through 2030

Phase 3: CATI Sample Composition1

Scope Item/SegmentSample SizeTarget Respondent Profiles
Food and Beverage Packaging120Packaging Managers, Quality Assurance Officers
Cosmetics and Personal Care Packaging60Product Development Managers, Brand Managers
Pharmaceutical Packaging Solutions50Regulatory Affairs Specialists, Supply Chain Managers
Industrial Packaging Trends40Operations Managers, Procurement Specialists
Sustainable Packaging Initiatives45Sustainability Officers, Marketing Directors

Frequently Asked Questions

What is the current value of the United Kingdom Packaging Market?

The United Kingdom Packaging Market is valued at approximately USD 59.5 billion, reflecting a significant growth trend driven by the demand for sustainable packaging solutions and the rise of e-commerce.

What are the key drivers of growth in the UK Packaging Market?

Which cities are the main hubs for the UK Packaging Market?

What is the Extended Producer Responsibility (EPR) scheme in the UK?

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