A report by Oxford Economics has estimated BSkyB to have made a £5.4 billion contribution to UK GDP on 2011.
The Economic Impact of Sky on the UK, commissioned by the broadcaster, says Sky generated sales of £6,405 million and over 75% of this revenue was retained in the UK. The figure represents around 40% of the contribution made by the entire TV and radio creative sector in the UK.
Sky has invested £3.2 billion in its digital television platform – including reception equipment such as set-top boxes and satellite dishes – as well as providing the platform that is used by other broadcasters such as Discovery Networks, Turner Broadcasting and UKTV.
“Non-terrestrial commercial broadcasters (excluding Sky) employ around 12,000 people in the UK,” says the report.
Technological innovation such as mobile TV, HD, 3D and VOD is also highlighted.
“In two of its most recent major pieces of product innovation (HD and 3D), Sky has had to directly co-operate with its suppliers and broadcast partners to introduce the new products. This delivers to them technical expertise other companies around the world do not have. Illustrative of this is the fact that over 50 UK companies have gained expertise in 3D off the back of Sky’s investment”.
The report says assuming all Sky’s 3D and HD subscribers at end-2011 had bought the appropriate television, this would generate an over £600 million contribution to UK GDP by increasing electronics retailers’ sales and profits.
