Beyond the morning ritual, the UK's coffee culture beats with the pulse of a multi-billion-pound industry where every sip tells a story of remarkable growth and shifting tastes.
Key Takeaways
- The UK coffee market was valued at £1.22 billion in 2022, reflecting a 5.2% year-on-year growth driven by premiumization trends
- Out-of-home coffee consumption in the UK reached £1.1 billion in revenue in 2023, up 7% from 2022 due to increased cafe visits post-pandemic
- Total UK coffee market projected to grow to £1.5 billion by 2027 at a CAGR of 4.8%, fueled by specialty coffee demand
- UK adult population drinks an average of 2.5 cups of coffee per day in 2023, totaling 95 million cups daily nationwide
- 82% of UK adults consume coffee weekly, with 45% daily drinkers in 2023 survey
- Millennials (25-40) account for 38% of total coffee consumption volume in UK 2023
- UK has over 26,000 coffee shops in 2023, up 4% from 2022
- Independent coffee shops number 18,500 in UK 2023, 71% of total outlets
- Costa Coffee operates 4,000+ outlets in UK as of 2023
- UK roasted 120,000 tonnes of coffee in 2022, mostly arabica
- UK imported 45,000 tonnes of green coffee in Q1 2023, up 8% YoY
- Brazil supplied 35% of UK coffee imports in 2022, totaling 15,500 tonnes
- 42% of UK coffee supply chain emissions from production stage in 2023 LCA study
- 65% of UK consumers prefer sustainably sourced coffee in 2023 survey
- Compostable coffee pods market share reached 28% in UK 2023
The UK coffee market is thriving due to premiumization, growing specialty demand, and strong cafe sales.
Consumption Patterns
- UK adult population drinks an average of 2.5 cups of coffee per day in 2023, totaling 95 million cups daily nationwide
- 82% of UK adults consume coffee weekly, with 45% daily drinkers in 2023 survey
- Millennials (25-40) account for 38% of total coffee consumption volume in UK 2023
- Instant coffee consumed by 60% of UK households, averaging 1.8 kg per user annually in 2022
- Out-of-home coffee consumption averages 1.1 cups per week per adult in urban UK areas 2023
- 25% of UK coffee drinkers prefer flat whites, up from 18% in 2020, per 2023 poll
- Women represent 52% of specialty coffee drinkers in UK, consuming 1.4 kg/year on average
- Average spend on coffee per UK consumer £145 annually at home in 2023
- 35% of UK Gen Z (16-24) drink iced coffee year-round, double the national average
- Roast and ground coffee per capita consumption 0.8 kg in 2022, down 5% YoY
- Pods used 4.2 billion times in UK homes in 2023, average 120 per household
- 48% of UK coffee drinkers add milk, 12% sugar, per 2023 habits survey
- Peak coffee consumption time 8-10 AM, accounting for 35% of daily volume
- Londoners drink 3.2 cups per day on average vs national 2.5 in 2023
- 22% increase in decaf coffee consumption since 2020, reaching 15% of total in 2023
Consumption Patterns Interpretation
The UK is running on a potent brew of daily rituals, from the steadfast instant coffee in the kitchen to the urban flat white grabbed on the go, revealing a nation where coffee is both a humble necessity and a growing craft.
Market Size and Value
- The UK coffee market was valued at £1.22 billion in 2022, reflecting a 5.2% year-on-year growth driven by premiumization trends
- Out-of-home coffee consumption in the UK reached £1.1 billion in revenue in 2023, up 7% from 2022 due to increased cafe visits post-pandemic
- Total UK coffee market projected to grow to £1.5 billion by 2027 at a CAGR of 4.8%, fueled by specialty coffee demand
- Instant coffee segment held 45% of the UK at-home coffee market value in 2023, valued at approximately £450 million
- UK roast and ground coffee market value stood at £320 million in 2022, with a 3.5% decline due to shift towards pods
- Pods and capsules segment grew 12% in value to £280 million in 2023, representing 25% of total coffee sales
- UK coffee exports reached £45 million in 2022, primarily to EU countries
- At-home coffee market in UK valued at £950 million in 2023, with 4% growth amid cost-of-living pressures
- Premium coffee segment (over £5 per 100g) grew 15% in value to £150 million in 2023
- UK coffee market volume reached 250,000 tonnes in 2022, up 2% YoY
- On-trade coffee sales volume hit 1.2 billion servings in 2023
- UK coffee industry contributed £10.2 billion to GDP in 2022 via direct and indirect effects
- Coffee shop market turnover exceeded £12 billion in 2023
- E-commerce coffee sales grew 18% to £250 million in 2023
- Ethical coffee market segment valued at £400 million in UK 2022, 32% of total
- UK coffee market valued at £1.22 billion in 2022 with 5.2% growth
- Out-of-home coffee revenue £1.1 billion in 2023, +7% YoY
- Projected £1.5 billion by 2027, CAGR 4.8%
- Instant coffee 45% share, £450 million in 2023
- Roast and ground £320 million in 2022, -3.5%
- Pods £280 million, +12% in 2023
- Exports £45 million in 2022
- At-home £950 million, +4% 2023
- Premium segment £150 million, +15% 2023
- Volume 250,000 tonnes 2022, +2%
- On-trade 1.2 billion servings 2023
- GDP contribution £10.2 billion 2022
- Coffee shops £12 billion turnover 2023
- E-commerce £250 million, +18% 2023
- Ethical £400 million, 32% share 2022
Market Size and Value Interpretation
The British are clearly fuelling their national recovery with a sophisticated, split-personality coffee habit, where the quiet comfort of a cheap instant mug at home (£450 million strong) politely coexists with an extravagant, ethics-conscious café culture (£12 billion in turnover) that’s steaming toward a £1.5 billion market.
Production and Imports
- UK roasted 120,000 tonnes of coffee in 2022, mostly arabica
- UK imported 45,000 tonnes of green coffee in Q1 2023, up 8% YoY
- Brazil supplied 35% of UK coffee imports in 2022, totaling 15,500 tonnes
- Vietnam accounted for 22% of robusta imports to UK, 9,800 tonnes in 2023
- UK coffee roasters number 450 active sites in 2023, processing 250,000 tonnes annually
- Specialty green coffee imports rose 20% to 12,000 tonnes in 2023
- Average import price of arabica to UK £4.50/kg in 2023
- UK exports 5,000 tonnes of roasted coffee annually, mainly to Ireland 2022
- Decaf green coffee imports 4,200 tonnes in UK 2023
- Top 10 roasters process 85% of UK volume, 210,000 tonnes in 2022
- Organic coffee imports to UK 3,800 tonnes in 2023, up 12%
- Port of Felixstowe handles 60% of UK coffee imports, 28,000 tonnes 2023
- UK robusta imports fell 5% to 18,000 tonnes in 2022 due to shortages
- Fairtrade certified coffee imports 8,500 tonnes to UK 2023
- 75% of UK coffee imports are arabica beans, 32,000 tonnes in 2023
Production and Imports Interpretation
Despite Britain's cherished image as a nation of sophisticated tea drinkers, our booming coffee industry—importing beans from Brazil to Vietnam, roasting them in hundreds of sites, and even sneaking a flat white to Ireland—reveals a nation thoroughly, and increasingly, caffeinated.
Retail and Cafes
- UK has over 26,000 coffee shops in 2023, up 4% from 2022
- Independent coffee shops number 18,500 in UK 2023, 71% of total outlets
- Costa Coffee operates 4,000+ outlets in UK as of 2023
- Starbucks has 1,200 stores in UK 2023, with 20% drive-thru
- Average coffee shop in UK serves 250 cups per day in 2023
- London hosts 5,200 coffee shops, 20% of UK total in 2023
- Drive-thru coffee outlets grew 15% to 1,800 in UK 2023
- Mobile coffee vans number 3,500 across UK in 2023, up 10%
- Supermarket coffee sales volume 180,000 tonnes in 2023
- High street coffee chains turnover £8.5 billion in 2023
- Pop-up coffee shops increased 25% to 1,200 in urban areas 2023
- Average price of flat white £3.45 in London coffee shops 2023
- 65% of UK coffee shops offer plant-based milk options in 2023
- Coffee shop footfall recovered to 98% pre-pandemic levels in 2023
- Franchise coffee outlets 4,500 in UK 2023, 17% of total
- Office coffee vending machines in 45,000 locations serving 500 million cups yearly 2023
Retail and Cafes Interpretation
The UK coffee scene is a meticulously caffeinated ecosystem where corporate chains and indie upstarts fiercely coexist, all while battling for supremacy against the relentless convenience of supermarket aisles, office machines, and the ever-creeping advance of the drive-thru lane.
Sustainability and Trends
- 42% of UK coffee supply chain emissions from production stage in 2023 LCA study
- 65% of UK consumers prefer sustainably sourced coffee in 2023 survey
- Compostable coffee pods market share reached 28% in UK 2023
- UK coffee industry recycled 25,000 tonnes of spent grounds in 2023 for biofuels
- Plant-based milk usage in coffee up 40% to 35% of servings since 2020
- Ready-to-drink (RTD) coffee sales grew 22% to £120 million in 2023
- Nitro cold brew outlets tripled to 2,500 in UK 2023
- 55% of UK roasters committed to net-zero by 2030 in 2023 pledge
- Single-use cup usage down 30% to 1.8 billion in 2023 due to charges
- Blockchain-tracked coffee supply grew 18% to 15% of premium market 2023
- Iced and cold coffee consumption up 28% year-round in 2023
- Women-led coffee farms sourcing increased 12% to 20% of UK specialty imports
- Energy use in roasting reduced 15% industry-wide since 2019 to 2023
- Functional coffee (with adaptogens) sales +35% to £45 million in 2023
- 70% of UK consumers willing to pay 10% premium for carbon-neutral coffee 2023
Sustainability and Trends Interpretation
The UK's coffee scene is a delicious paradox where our collective caffeine addiction is being slowly, and sometimes awkwardly, reformed by a surge in eco-guilt, cold brew, and the hopeful notion that a compostable pod and a dash of blockchain can offset the fact that producing the beans is still our biggest environmental hangover.
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