Mike Collins, Managing Director of Ovia Lighting, provides details on the current state of the UK lighting market and how LED luminaires are driving growth.
According to the most recent report from AMA Research - The 17th edition of the UK Lighting Market Report 2024-2028 – the lighting market is forecast to be worth some £2.3 billion at MSP by 2028, representing a CAGR of 2.8% when compared to the estimated market size in 2024.
This rapidly developing market has been impacted by significant changes in the last two to three years. These include new regulatory requirements, the wider adoption of LED solutions, and the continued adoption of smart and connected lighting technologies.
Lighting is currently estimated to account for around 12% of UK’s total electricity consumption a year. By 2030, with the widespread use of LED lighting and smart connected systems this level could significantly reduce to around 8%, resulting in significant energy savings and reduced carbon emissions. LED lighting is currently estimated to account for 72% of all UK lighting products and systems sold and this figure is forecast to increase to around 85% by 2030.
Market Drivers
There are several key factors driving the growth of the UK LED lighting market. The continual advancements in LED technology including the rise of smart home automation and IoT-enabled lighting systems has increased demand for LED-based solutions and features like remote control, dimming, and colour adjustment make LEDs a preferred choice for modern households and businesses. Advancements in LED technology have improved brightness, colour quality, and efficiency and prices have dropped significantly in recent years, making LEDs more accessible.
The adoption of the more energy-efficient LED lighting solutions has been accelerated by the UK’s commitment to achieving net-zero carbon emissions by 2050. LEDs consume up to 80% less energy than traditional bulbs and have a longer lifespan, reducing electricity costs and carbon emissions. Many businesses are investing in sustainable technologies, including LED lighting, to meet Environmental, Social, and Governance (ESG) targets.
Switching to LEDs is an easy win – something as minor as a 20% reduction in energy costs can add the same benefit as a 5% increase in sales for business. Upgrading from conventional lighting to LED technology can deliver significant cost savings of up to 80% for a business. This is according to the Government Department for Business, Energy and Industrial Strategy. By replacing incandescent lamps with LED lamps there is the potential to reduce electricity consumption by 50% to 80%. If you add in controls and IoT devices like motion sensors, building owners will be able to further manage lighting use and electricity consumption.
LED Lighting Panels
The LED panels market has come a long way since the fittings were first introduced in the UK more than 10 years ago, when a 45W panel cost more than £200. Today the LED panel market in the UK is huge, and in recent years LED panels have been used as the main replacement for fluorescent tubes as a means of saving on energy consumption.
With energy efficiency remaining a key priority for the lighting sector, Ovia’s most recent product development has focussed on the company’s range of LED panels, with the introduction of new and improved versions which now feature lower wattages and produce higher lumen outputs.
High performance, low wattage
Now offering a new 140 lumen panels range within its commercial lighting offer, Ovia is creating the opportunity for the replacement of existing higher wattage panels for these more energy efficient versions to create even further energy savings.
Ovia’s premium Inceptor Slate Backlit LED panels, as well as the regular Slate Backlit panels are now available in 22W versions that produce an impressive 140 lumens per Watt output to maximise energy efficiency.
Ovia’s Inceptor Slate Backlit is a premium TP(a) rated LED Panel with a low <19 UGR diffuser. The range has been upgraded to reduce the wattage from 30W and 40W to 22W and 30W, to achieve a higher lumen output whilst consuming much less power. As well as being power switchable these new backlit panels feature selectable CCT (4000K, 5000K and 6500K) options as standard, to offer completely customisable lighting solutions. There are three sizes available - 22-30W 600mm x 600mm, 22-30W 1200mm x 300mm and 37-50W 1200mm x 600mm.
At the same time as introducing the improved Inceptor Slate LED Panel range, the company has upgraded its standard Slate Backlit Panels which are now available in a reduced wattage of 22W, producing a 140 lumen per Watt output. These 4000K low glare 600 x 600, 22W panels are available in a TP(a) or TP(b) option.
These ratings relate to the fire-rating of thermoplastic diffuser materials. Thermoplastic materials undergo specific tests to certify their ability to withstand the application of heat and fire. The requirements are established by Building Regulations Approved Document B, which sets out the fire safety of buildings. Section B2 covers internal fire spread. The difference between TP(a) and TP(b) rated materials is in their composition and thickness or how they react under test conditions when a flame is applied to them.
Inceptor Slate Backlit Panel Energy savings
In this example, Ovia looks at the overall cost savings for replacing 80 x 36W LED panels, with 80 of Ovia’s 22W LED panels.
The cost of electricity to run 80 x 36W LED panels for 10 hours per day, 5 days per week over a 52 week period - at an electricity cost of .12p (£/kWh) - would be £898.56, compared to just £549.12 for the equivalent usage for Ovia’s 22W LED panel. That’s an impressive annual saving of £349.44, which equates to an overall saving of approx. 38.9%.