UK Art Market Hits £8 Billion in 2025 but Trails US and China

The British art market reached £8 billion ($10.5 billion) in 2025 — the world's second-largest by value — yet its growth has badly trailed the United States and China, according to a new report marking the British Art Market Federation's 30th anniversary.

"The British Art Market 1996–2025," authored by Arts Economics (the research firm founded by economist Clare McAndrew, which also writes the Art Basel/UBS reports), measures the UK against its two principal competitors. The numbers show a market that has grown, but slowly — and one whose small businesses feel squeezed.

Since 2009, US sales have grown by 114% and global sales by 51%. UK sales grew by just 14%. Federation president Anthony Browne writes that many of the organization's small businesses cite "the stifling effects of excessive and growing regulation." The report mentions Brexit, which took place in 2020, only once — in the context of growing EU imports since 2021 due to changed reporting procedures.

What does three decades of growth look like?

In 1996 the UK market was worth £2.6 billion ($4 billion). Adjusted for inflation, that $4 billion equals $8.7 billion — meaning most of the nominal gain over 30 years is real, but modest.

The peak came in 2008 at £11.2 billion ($20.8 billion). The global financial crisis then cut the market by 57% in dollar terms, down to £5.7 billion ($8.9 billion). The UK still accounts for roughly half the entire European market, and 18% of global sales by volume — ahead of France at 8% and China at 14%, but far behind the US at 44%.

Trade flows tell a mixed story:

• Imports fell 45% in 2025 compared with 2015, though they're up 35% since 2000.
• Exports grew 46% since 2000 but dropped 15% year on year, possibly due to "indirect effects and uncertainties" from President Donald Trump's shifting tariff announcements — much of the decline came from fewer exports to the US.
• The US share of UK exports has halved since 2000; the import share fell almost as much.

Who actually sells the art?

The UK had about 7,610 dealers and galleries last year, a third of them in London, generating an estimated £4.6 billion ($6.1 billion). The number of businesses has grown by a third since 2003. Most are "small or micro businesses": 89% posted sales of £1 million ($1.3 million) or less in 2025.

Art fairs carried unusual weight, accounting for 37% of dealers' 2025 sales. The UK hosted just over 40 fairs last year, down from 52 in 2019, and galleries collectively spent £315 million ($419 million) to participate.

Gallery revenue is heavily top-heavy. A single top-selling artist accounts for 38% of sales on average; the top three account for 59%, up from 48% in 2022. The pattern is global — worldwide, the top three's share has climbed from 51% to 58%.

Auctions: fewer lots, bigger tickets

Auction houses loom large in the UK economy. Of 3,500 auctioneers and auction rooms overall, 1,170 sell art, antiques and collectibles, generating 42% of market value in 2025: £3.3 billion ($4.4 billion), up 8% but still 20% below the 2023 high.

While 78% of fine art lots sold for under $5,000, works at $1 million and above — less than 1% of transactions — accounted for 55% of total value. Lots in the $1 million–$10 million range made up 45% of value. Postwar and contemporary art claims just under half the auction market's value; the UK leads the global Old Master market with a 38% share.

The market also paid its way: it generated a conservatively estimated £1.5 billion in tax revenues in 2025. Whether the UK can close the growth gap with the US and China now depends largely on trade stability — and on whether regulation, as Browne's members argue, eases enough for small dealers to keep competing.