Nelson Advisors referenced in ICAEW's 'Medical technology in the UK' report

Nelson Advisors referenced in ICAEW's 'Medical technology in the UK report'.  

The UK has a large and diverse medical technology (MedTech) industry which forms part of the wider life sciences economy. Its products include medical devices, diagnostics and digital technologies and are used by millions of patients every day, ranging from single-use items such as syringes to complex hospital equipment.

Official statistics from the Office for Life Sciences (OLS) show that, in 2024/25, the UK had an estimated 4,500 MedTech companies employing 158,500 people and generating £44.2 billion in turnover. This represents just over one-third of total UK life sciences turnover (£125.8bn), although MedTech is the largest subsector in terms of employment (52%) and the number of companies (59%). Based on revised figures for 2023/24, MedTech employment declined by 4% in 2024/25, whilst turnover fell slightly by 1% in real terms. Although methodological changes mean that the latest OLS figures are not directly comparable with those for 2021/22 and earlier, the Government's Life Sciences Sector Plan reported that MedTech turnover grew by an average of 6% annually between 2018/19 and 2021/22.

Figures from MedTech Europe show the UK is the second-largest MedTech market in Europe by sales, representing 12.9% of the European medical device market in 2025. Europe itself is the world’s second-largest market after the US, representing 25.6% of global sales. Growth within the European market slowed to just 1.8% in 2025 however, compared with an annual average of 5.6% over the previous decade.

Scaling digital innovations within the NHS is currently challenging however, with around 90% of AI tools remaining confined to pilot phases according to Nelson Advisers. Complex procurement and local governance processes, alongside fragmented and outdated IT infrastructure, create significant barriers. As BCG also point out, inconsistent data-sharing and limited data integration across organisations hinder its use for insight generation, with gaps in NHS workforce capacity and digital skills further constraining the deployment of new technologies.

Source: https://www.icaew.com/library/industry-profiles/medical-technology