Measuring the Craft Economy

Defining and measuring craft: report 3

TBR, Julia Bennett, Andrew License, and Fiona Tuck

From the report's Executive Summary:

"Across the UK, there are 11,620 businesses involved in craft industries, which account for 0.2% of the UK business population. Over 50% (approximately 6,200) of these businesses are unregistered micro businesses operating below the VAT/PAYE threshold, suggesting a strong reliance on small independent makers. These 11,620 businesses employ 43,250 employees across the UK. Almost 7,300 (or 17%) of this employment is attributable to unregistered micro businesses. Overall the combined employment of craft industries accounts for 0.1% of the UK employment total, suggesting the majority of craft businesses are relatively small (as one might expect). Whilst craft industries employ 43,250 people in the UK, it is also important to consider those individuals working in craft occupations outside the craft industries. For example, there are an additional 9,630 people employed in craft occupations in ‘other’ creative industries (as defined by the DCMS) and an extra 96,360 individuals employed in craft occupations in non-creative Industries.

The combined impact of craft industries and occupations means that there are 149,500 people employed in the craft economy. Individuals employed in craft industries earn approximately £406 per week on average (gross), which is £55 per week less than the national average of £461 per week. Those working in craft occupations outside craft industries earn less than their counterparts in craft industries. This is especially the case for those employed in craft occupations in non-creative industries, whose average wage is £384 per week. Those craft workers employed in ‘other’ creative industries earn slightly less than those in craft industries at £400 per week.

Combining the economic output of craft industries and occupations indicates that the craft economy generates nearly £3.4bn for the UK economy, accounting for 0.3% of UK GVA."