THE BRITISH luxury goods sector is set to double in size over the next five years to £12.2bn in 2017, new research shows, despite continued economic woes in Europe.
The annual study released yesterday by not-for-profit luxury body Walpole and research firm Ledbury predicts the industry will grow by 12 per cent in 2013 to £7.4bn, up from £6.6bn last year, with the sector expected to see double digit growth, annually, for the next five years.
Burberry is one of several British brands that has seen increased demand for its leather handbags and trenchcoats while luxury car maker Jaguar Land Rover also saw sales accelerate strongly in the first quarter of the year.
The report surveyed 78 senior executives of companies spanning the luxury sector – from clothing to leisure and travel brands.
The majority of firms remained optimistic about their prospects, with 83 per cent expecting to see a rise in sales in 2013.
Tourist shoppers remain crucial to the industry, with 64 per cent of brands saying they will target this group specifically by introducing foreign payment methods and hiring foreign speaking staff.