Demand for Vertical Farming in UK

Demand for Vertical Farming in UK 2025 to 2035

The demand for vertical farming in the UK is projected to grow from USD 1.91 billion in 2025 to approximately USD 14.71 billion by 2035, with demand forecast to expand at a compound annual growth rate (CAGR) of 22.6% between 2025 and 2035. Growth is driven by expanding urban agriculture requirements and increasing adoption of controlled environment technologies across UK agricultural sectors, particularly in England where commercial facilities and technology providers are accelerating vertical farming deployment.

Increasing integration of hydroponics systems in urban applications and growing adoption of LED lighting approaches continue to drive demand. Agricultural producers and technology specialists are expanding their vertical farming investments to address the growing complexity of modern food production requirements and cultivation specifications, with UK facilities leading investments in automated growing systems.

Quick Stats for UK Vertical Farming Industry

• UK Vertical Farming Sales Value (2025): USD 1.91 billion
• UK Vertical Farming Forecast Value (2035): USD 14.71 billion
• UK Vertical Farming Forecast CAGR: 22.6%
• Leading Component Type in UK Vertical Farming Industry: Hardware (62.3%)
• Key Growth Regions in UK Vertical Farming Industry: England, Scotland, Wales, and Northern Ireland
• Regional Leadership: England holds the leading position in demand
• Key Players in UK Vertical Farming Industry: Intelligent Growth Solutions Limited, Signify Holding N.V., iFarm LLC, Freight Farms Incorporated, Argus Control Systems Limited, Jones Food Company Limited, Growing Underground Limited, Vertical Harvest Holdings LLC, AeroFarms LLC, Plenty Unlimited Inc.

The hardware segment is projected to register 62.3% of vertical farming demand in 2025. Vertical farming is widely used in hardware configurations because it enables precise cultivation control, reliable system performance, and proven operational stability that enhance production quality. It also supports diverse agricultural applications and growing preferences across controlled environments, improving yield characteristics and effectiveness.

Urban agriculture applications are expected to account for 71.4% of vertical farming demand in 2025. Vertical farming is widely used for urban agriculture because it provides proven space optimization and comprehensive performance support for demanding cultivation requirements. Its integration enhances agricultural character, production capabilities, and crop outcomes by enabling improved resource differentiation and authentic performance positioning during growing cycles.

From 2030 to 2035, demand is forecast to grow from USD 5.42 billion to USD 14.71 billion, adding another USD 9.29 billion, which constitutes 63.2% of the overall ten-year expansion. This period is expected to be characterized by expansion of advanced automation integration, development of specialized growing formulations and customized cultivation products, and implementation of quality assurance systems across different agricultural applications. The growing adoption of smart agriculture principles and enhanced crop customization requirements, particularly in England and Scotland regions, will drive demand for more sophisticated vertical farming systems and integrated cultivation platforms.

The vertical farming industry is experiencing rapid growth in the UK primarily due to the increasing adoption of controlled environment alternatives and the expansion of urban agriculture initiatives. The country's emphasis on food security advancement and agricultural innovation necessitates investment in effective vertical farming systems (cultivation support, crop protection) and advanced growing products (yield enhancement, quality verification) for agricultural operations and food production functions.

UK Vertical Farming Industry Key Takeaways

Metric	Value
UK Vertical Farming Sales Value (2025)	USD 1.91 billion
UK Vertical Farming Forecast Value (2035)	USD 14.71 billion
UK Vertical Farming Forecast CAGR (2025-2035)	22.6%

Why is the UK Vertical Farming Industry Growing?

Modern agricultural producers and food technology practitioners rely on professional vertical farming systems to ensure cultivation competitiveness, crop improvement, and optimal pathway achievement toward production goals. Advanced agricultural requirements necessitate comprehensive vertical farming solutions including specialized growing capabilities, cultivation support systems, and yield enhancement infrastructure to address diverse application needs and efficiency specifications.

Agricultural producers and food technology practitioners are emphasizing sourcing and integrated cultivation solutions to enhance crop profiles, access production optimization trends, and demonstrate agricultural leadership in competitive food environments. Advanced quality policies and vertical farming performance requirements are establishing standardized growing pathways that require professional systems and performance assurance, with UK facilities often pioneering large-scale implementation of controlled environment technologies.

The Department for Environment, Food and Rural Affairs (DEFRA) guidelines and the Food Standards Agency (FSA) standards provide the definitive agricultural efficacy, safety, and quality-of-production requirements for vertical farming interventions and growing modalities, i.e., the agricultural and regulatory specifications demanded by cultivation products and service providers. Technical reviews in journals like Journal of Agricultural Engineering further explain why these advanced systems improve yield and resource outcomes versus conventional greenhouse cultivation, citing superior growth optimization and long-term sustainability rates, reinforcing their role as a DEFRA-aligned, evidence-based agricultural component within commercial and research sectors.

Segmental Analysis

The industry is segmented by component type, application, and region. By component type, the industry is divided into hardware, software, and services categories. In terms of application, the industry is segmented into urban agriculture, controlled environment production, and food security. Regionally, the industry is divided into England, Scotland, Wales, and Northern Ireland.

By Component, Which Segment Captures the Maximum Share in UK’s Vertical Farming Landscape?

The hardware segment is projected to account for 62.3% of vertical farming demand in 2025, making it the leading component category across the sector. This dominance reflects the cultivation performance requirements and proven capabilities of hardware systems for existing agricultural operations and food production applications where growing precision is optimized through established technological capabilities and integrated quality architecture. In the UK, where substantial agricultural populations require vertical farming integration without complete production modification, hardware platforms provide practical pathways for cultivation enhancement while maintaining agricultural integrity.

Continuous innovations are improving system consistency, growing characteristics, and equipment integration parameters, enabling agricultural producers to achieve high performance standards while maximizing reliability. The segment's strong position is reinforced by the extensive existing agricultural infrastructure requiring vertical farming adoption and growing availability of hardware suppliers with proven commercial experience.

• Cultivation compatibility and existing agricultural integration make hardware platforms the preferred component type for enhancing food production operations and agricultural installations.
• Performance reliability and commercial demonstration track records are enhancing producer confidence and system viability across large-scale adoption initiatives.

Which Application Category Captures the Highest Share?

Urban agriculture applications are expected to represent 71.4% of vertical farming demand in 2025, demonstrating the significant role of city-based food production and metropolitan agriculture requiring comprehensive cultivation support solutions. Urban agriculture facilities including major retail centers, distribution networks, consumer programs, and direct-to-market initiatives generate consistent demand for vertical farming systems that are technically and operationally favorable for urban applications.

The segment benefits from performance characteristics that provide cultivation optimization and production capabilities for city-based agriculture. In the UK, where urban agriculture represents substantial portions of local food delivery, production excellence requires vertical farming integration across diverse metropolitan facilities. In England regions, where urban concentrations are significant, vertical farming demand is elevated by emphasis on maintaining food security while achieving production targets.

• Urban requirements and cultivation optimization drive consistent demand across major retail centers, distribution networks, consumer programs, and direct-to-market initiatives.
• The integration of vertical farming-based solutions enhances the accessibility, convenience, and effectiveness of urban food production, further supporting the sector's need for high-performance cultivation in both metropolitan and commercial applications.

What are the Drivers, Restraints, and Key Trends in the UK Vertical Farming Industry?

The country's vertical farming demand is advancing rapidly due to increasing urban agriculture requirements and growing recognition of cultivation necessity for food security development, with England region serving as a key driver of innovation and application development.

The sector faces challenges including competition from conventional growing systems, need for specialized efficiency validation development, and ongoing concerns regarding equipment costs and regulatory considerations. National food security guidelines and regional-level agricultural initiatives, particularly urban farming programs in England and Scotland regions, continue to influence vertical farming selection and adoption timelines.

Expansion of Urban Agriculture Requirements and Performance Standards

The enhancement of cultivation regulations, gaining particular significance through agricultural standards and advanced food security programs, is enabling vertical farming suppliers to achieve differentiation without prohibitive development costs, providing predictable demand patterns through cultivation requirements and producer preferences.

Enhanced quality standards offering substantial opportunities for professional vertical farming systems and integrated applications provide foundational dynamics while allowing suppliers to secure agricultural agreements and food production partnerships. These trends are particularly valuable for first-mover suppliers and advanced system development that require substantial technical investments without immediate cost advantages.

Incorporation of Smart Agriculture Technologies and Quality Validation Systems

Modern vertical farming suppliers and agricultural companies are establishing advanced cultivation networks and centralized quality management facilities that improve growing effectiveness through technical standardization and performance validation. Integration of yield optimization systems, high-precision growing technologies, and coordinated quality management enables more efficient vertical farming delivery across multiple agricultural locations.

Advanced cultivation concepts also support next-generation food production applications including specialized agricultural integration, crop optimization, and regional vertical farming supply networks that optimize system-level economics while enabling comprehensive performance monitoring across agricultural regions, with UK developments increasingly adopting collaborative research models to reduce individual supplier costs and accelerate validation.

Analysis of UK Vertical Farming Industry by Key Regions

Region	CAGR (2025 to 2035)
England	20.1%
Scotland	19.8%
Wales	19.5%
Northern Ireland	19.2%

The UK vertical farming industry is witnessing rapid growth, supported by rising urban agriculture requirements, expanding food security initiatives, and the deployment of controlled environment technologies across regions. England leads the nation with a 20.1% CAGR, reflecting progressive agricultural trends, substantial technological innovation, and early adoption of professional vertical farming systems.

Scotland follows with a 19.8% CAGR, driven by extensive agricultural infrastructure, favorable growing demographics, and concentration of specialized operations that enhance application development. Wales grows at 19.5%, as agricultural modernization and food security opportunities increasingly drive vertical farming adoption. Northern Ireland demonstrates growth at 19.2%, supported by expanding agricultural facilities and regional food production initiatives.

Why Does England Lead Vertical Farming Demand?

Demand for vertical farming in England is projected to exhibit strong growth with a CAGR of 20.1% through 2035, driven by progressive urban agriculture preferences, substantial technological development creating advanced vertical farming opportunities, and concentration of food security advancement across London and surrounding metropolitan areas.

As the dominant region with extensive agricultural infrastructure and quality-focused food production policies, England's emphasis on comprehensive cultivation excellence and agricultural leadership is creating significant demand for professional vertical farming systems with proven effectiveness and reliable application potential. Major vertical farming suppliers and agricultural companies are establishing comprehensive technological development programs to support innovation advancement and advanced system deployment across diverse applications.

• Agricultural development trends and urban preferences are requiring comprehensive crop management strategies and vertical farming solutions, driving demand for systems with demonstrated cultivation enhancement capabilities and permanent growing assurance throughout diverse agricultural operations.
• Innovation ecosystem strength and agricultural capital availability are supporting deployment of next-generation vertical farming technologies and novel application pathways that enhance commercial viability, reduce cultivation costs, and create new growing opportunities across food production and quality-focused applications, positioning England as a national agricultural leadership region.

Why Does Scotland Show Strong Growth?

Demand for vertical farming in Scotland is expanding at a CAGR of 19.8%, supported by extensive agricultural facilities including large-scale food production programs, urban farming operations, and technology companies generating concentrated demand favorable for vertical farming systems. The region's agricultural characteristics, featuring substantial cultivation infrastructure and growing requirements ideal for vertical farming integration, provide natural advantages.

Agricultural expertise concentrated in Edinburgh, Glasgow, and regional food production corridors facilitates application development and crop management. Vertical farming suppliers and agricultural companies are implementing comprehensive cultivation strategies to serve expanding quality-focused requirements throughout Scotland.

• Agricultural concentration and favorable application economics are creating opportunities for specialized vertical farming suppliers that can integrate cultivation systems with existing agricultural operations.
• Vertical farming positioning and food security awareness are building regional competitive advantages in agricultural applications, enabling comprehensive food production development and cultivation cluster enhancement that meets growing targets while accessing advanced pricing opportunities.

Why Does Wales Show Consistent Expansion?

Demand for vertical farming in Wales is growing at a CAGR of 19.5%, driven by substantial agricultural facilities from food production operations, urban farming distributors, and regional operators requiring vertical farming pathways.

The region's agricultural base, supporting critical food production operations, is increasingly adopting vertical farming technologies to maintain competitiveness while meeting cultivation expectations. Agricultural companies and vertical farming suppliers are investing in growing integration systems and regional supply infrastructure to address growing crop management requirements.

• Agricultural modernization imperatives and food production competitiveness concerns are facilitating adoption of vertical farming technologies that enable continued agricultural operations while achieving cultivation enhancement across food production operations, urban farming distributors, and operator facilities.
• Growing optimization opportunities including regional agricultural development and vertical farming utilization for enhanced food production operations are creating unique regional advantages and diversified application types throughout Wales agricultural operations.

What Factors Underpin Vertical Farming Demand in Northern Ireland?

Demand for vertical farming in Northern Ireland is advancing at a CAGR of 19.2%, supported by expanding agricultural facilities, regional food production development including urban farming and cultivation operations, and growing emphasis on growing solutions across the region.

Agricultural modernization and food production facility expansion are driving consideration of vertical farming systems as cultivation enhancement pathways. Agricultural companies and vertical farming suppliers are developing regional capabilities to support emerging growing deployment requirements.

• Agricultural expansion and food production diversification are creating economic drivers for vertical farming technologies and system adoption across urban farming and agricultural facilities seeking competitive differentiation pathways.
• Regional agricultural cooperation and coordinated food production development are establishing consistent vertical farming environments and shared cultivation infrastructure that support multi-regional growing projects throughout Northern Ireland agricultural operations.

Competitive Landscape of UK Vertical Farming Industry

UK vertical farming industry is defined by competition among specialized agricultural technology manufacturers, cultivation equipment companies, and integrated solution providers, with major technology corporations maintaining significant influence through research resources and application development capabilities. Companies are investing in cultivation advancement, quality assurance infrastructure optimization, distribution network structures, and comprehensive technical validation services to deliver effective, reliable, and accessible growing enhancement solutions across UK agricultural and food production applications. Strategic partnerships, research infrastructure development, and first-mover application execution are central to strengthening competitive positioning and presence across agricultural, quality-focused, and food production applications.

Intelligent Growth Solutions Limited leads with a 12.8% share, offering comprehensive vertical farming solutions including cultivation development, quality assurance, and distribution services with focus on urban agriculture applications, food production, and accessibility across UK operations. Signify Holding N.V. delivers full-service lighting supply including agricultural distribution, custom integration, and technical support serving UK and international food production projects.

iFarm LLC emphasizes comprehensive advanced solutions with integrated cultivation capabilities, quality management, and growing features leveraging agricultural sector expertise. Freight Farms Incorporated offers vertical farming application development and cultivation optimization operations for urban agriculture and food production applications across UK operations.

Key Players in UK Vertical Farming Industry

• Intelligent Growth Solutions Limited
• Signify Holding N.V.
• iFarm LLC
• Freight Farms Incorporated
• Argus Control Systems Limited
• Jones Food Company Limited
• Growing Underground Limited
• Vertical Harvest Holdings LLC
• AeroFarms LLC
• Plenty Unlimited Inc.

Scope of the Report

Item	Value
Quantitative Units	USD 14.71 billion
Component Type	Hardware, Software, Services
Application	Urban Agriculture, Controlled Environment Production, Food Security
Regions Covered	England, Scotland, Wales, Northern Ireland
Key Companies	Intelligent Growth Solutions Limited, Signify Holding N.V., iFarm LLC, Freight Farms Incorporated, Argus Control Systems Limited, Jones Food Company Limited, Growing Underground Limited, Vertical Harvest Holdings LLC, AeroFarms LLC, Plenty Unlimited Inc., Regional vertical farming specialists
Additional Attributes	Sales by component type and application segment; regional demand trends across England, Scotland, Wales, and Northern Ireland; competitive landscape with established vertical farming suppliers and specialized agricultural developers; quality preferences for hardware versus software technologies; integration with food security programs and advanced urban agriculture policies, particularly advanced in the England region

UK Vertical Farming Industry by Segments

• Component Type :

  • Hardware
  • Software
  • Services

• Application :

  • Urban Agriculture
  • Controlled Environment Production
  • Food Security

• Region :

  • England
  • Scotland
  • Wales
  • Northern Ireland