UK Smartphones Market Report 2025

UK Smartphones Market Analysis

The UK smartphone market in 2024 was valued at £5.8 billion, experiencing a modest year-over-year growth, supported by the release of flagship models like the iPhone 16 and Samsung S24.

Historically, smartphone market demand has fluctuated, with steady demand for new models, yet the smartphone market is expected to face a slight contraction due to market saturation, longer replacement cycles, and rising price pressures. Consumer financial caution, heightened by factors like the cost-of-living crisis, has caused many to delay upgrades, leading to a rise in SIM-only contracts and longer device retention. Looking ahead, the smartphone market is expected to face a slight contraction with a -0.8% growth forecast in the foreseeable future, driven by continued price pressures, tariff uncertainty, and consumer reluctance to invest in new devices. However, the market’s value may remain relatively resilient as rising average selling prices of flagship handsets, which remain popular among certain consumer segments, help offset declining volumes.

UK Smartphones Market Trends

Consumers in the UK smartphone market are holding onto their devices for longer periods, with many consumers holding onto their smartphones for extended periods due to minimal year-over-year improvements and the rising cost of new models. There is a significant traction for SIM-only contracts as consumers seek flexibility and cost savings. Durability and long-term value are top priorities, with features like large storage capacity, extended warranties, and repairability becoming key purchase drivers. While AI integration shows emerging interest, particularly among younger consumers, it remains significantly less important than traditional features such as camera quality and brand reputation. As economic uncertainties persist, consumers are increasingly cautious with their spending, opting for more budget-friendly options or refurbished devices.

Purchasing the UK Smartphones Market Report 2025 offers key insights into evolving consumer preferences, highlighting the consumer prioritisation for durable, affordable devices amid rising prices. It identifies opportunities for smartphone brands to use AI and advanced tech to attract younger, tech-savvy consumers. With longer device ownership on the rise, brands have opportunities to explore modular, upgradeable phones to lead in sustainability and innovation helping them capture a larger smartphone market share.

About The Report

The UK Smartphones Market Report 2025 provides comprehensive insights into key consumer trends, market dynamics, and emerging technologies shaping the smartphone industry. It covers areas such as consumer preferences for durability and affordability, the impact of AI on user experiences, and the extended device ownership patterns. The report also explores the effects of economic factors like rising prices and tariffs on purchasing behaviour, alongside opportunities for brands to leverage modular, upgradeable phones and sustainability initiatives. The research surveyed diverse consumer demographics, including age groups, income levels, and usage habits. This report will benefit smartphone manufacturers, marketers, retailers, and technology developers looking to stay ahead of trends and make informed strategic decisions.

Key Topics Analysed in the Report

• The performance of the smartphone market and how brands should respond to potential tariff disruption
• Trends in smartphone brand ownership and consumers’ preferred purchase channels
• The key smartphone features that drive consumer brand preferences, and how major smartphone brands are perceived
• How much consumers are willing to pay for their next smartphone, with a focus on identifying key consumer segments within each pricing tier
• The threat to smartphone markets, including disruption to supply chains, the impact of screen time and digital overload on consumers, and the ongoing pressures on consumers’ finances.

Meet the Expert Behind the Analysis

This report was written by Joe Birch. Joe is a consumer technology analyst with Mintel. He has over a decade’s experience in the market research industry as a research analyst and report writer. He joined Mintel in 2019 after a number of years as a research manager at a boutique consultancy, servicing B2B, Financial services and public sector clients.

Tariff uncertainty may impact smartphone prices in future, making now a great time for brands to promote upgrades. Durable devices with large storage will resonate with consumers.

Joe Birch

Senior Technology and Leisure Analyst