A report commissioned by Ericsson and Qualcomm estimates that widespread 5G adoption could generate nearly £15 billion in additional economic output across three core UK industries.
The report finds that over three-quarters of the projected gains will come from manufacturing, agriculture, and construction. Applied to these sectors, 5G is forecast to add approximately £14.8 billion to the UK economy, unlocking productivity improvements and new digital capabilities.
John Griffin, Head of Ericsson UK and Ireland, commented:
“This new research shows that 5G technology will be a foundation for the UK’s future as it recovers from COVID-19 and builds a world-leading digital economy.
As an open innovation platform, 5G will accelerate digital transformation and help the UK establish a truly global leadership position in the industries and technologies of the future.
Ericsson is already leading the deployment of 5G in the UK and is committed to developing the early use cases that will deliver the economic, social, and environmental returns to build a sustainable and resilient infrastructure for future generations.”
By sector, the report anticipates roughly £5.2 billion in benefits for manufacturing, £4.2 billion for construction, and £2.2 billion for agriculture. These gains are expected to stem from practical 5G-enabled innovations and efficiency improvements.
Key areas where 5G is expected to drive benefits include:
- Connected sensors providing real-time monitoring for factories, crops, and construction sites to reduce downtime and improve decision-making.
- Autonomous and remotely controlled vehicles that reduce labour demands, increase safety, and enable new operational models.
- Augmented reality applications for productivity boosts and more effective, scalable training.
- Collaborative robotics for maintenance, inspections, and site surveillance that enhance safety and speed up workflows.
Earlier this year, Worcester Bosch opened the UK’s first 5G smart factory in partnership with BT and Ericsson. That facility showcases early, practical use cases—such as sensor networks that help cut downtime and improve safety performance.
Carl Arntzen, CEO of Worcester Bosch, said at the time:
“We have learnt an awful lot within the W5G Testbed, both about the 5G network itself, but most importantly about the skills and competencies we need in-house, and what data to stream in order to develop a real-time understanding of the behaviour of various machines.
We are very eager to continue this learning and are confident we can travel much further on this journey, deliver the productivity gains we predicted, and go much further in developing the smart factory of the future.”
As businesses recover from the pandemic, the UK government has emphasised a “build back greener” approach, seeking recovery that includes sustainability priorities. The report suggests 5G can contribute by reducing waste and inefficiencies and by enabling lower-carbon approaches to farming and supply chains.
However, Ericsson and Qualcomm warn that without supportive policy action the UK risks losing momentum. Although the UK was an early mover in launching 5G networks, current population coverage sits around the European average rather than leading the pack.
The report outlines several policy recommendations to capture the potential benefits:
- Prioritise initiatives that increase 5G uptake in manufacturing, construction, and agriculture where the economic upside is largest.
- Expand 5G coverage into more rural and underserved areas to ensure inclusive benefits across regions.
- Encourage network operators to deploy higher-density infrastructure in urban and industrial zones to support capacity-intensive applications.
A full copy of the Ericsson and Qualcomm report is available from the organisations that commissioned the study (PDF).
(Photo by Elena Mozhvilo on Unsplash)
Interested in hearing industry leaders discuss these topics? Events such as 5G Expo, IoT Tech Expo, Blockchain Expo, AI & Big Data Expo, and Cyber Security & Cloud Expo bring together experts and practitioners at conferences in locations including Silicon Valley, London, and Amsterdam. These gatherings cover practical deployments, policy considerations, and the business cases for adopting 5G across sectors.