Leisure DB State of the UK Fitness Industry Report 2023

UK PUBLIC GYMS

PUBLIC SECTOR

OVERVIEW PUBLIC GYMS

As in the private sector, the last 12 months have been a more positive period for the UK’s public fitness sector as it recovers from the impact of Covid-19. Despite the total number of gyms falling again in the 12 months to the end of March 2023, there has been positive growth in the other three key metrics: member numbers, market value and penetration rate. Indeed, market value is now back to pre-Covid levels. However, for penetration rate (see page 51) and member numbers (previously 3.38 million in 2019), there’s still a way to go to return to previous highs. There are now 2,538 public sector gyms in the UK, down 2.6% from 2,607 in 2022. Nevertheless, member numbers are up 3% to 3.3 million (from 3.21 million in 2022), while the value of the public sector has also risen, reaching £1.35 bn – an increase of £46 m, or 3.5%. The public sector’s penetration rate is also up, reaching 4.9% for 2023 – up from 4.7% in 2022 – having fallen below 5% for the first time in 10 years in the aftermath of Covid-19. It remains below its previous high of 5.2% (recorded in 2014–16), but like the private sector, it’s moving back in the right direction. Of the UK’s 2,538 public sector gyms, 46% are managed by a trust (no change). Broken down by country, this translates to 43% of facilities in England, 21% in Northern Ireland, 47% in Wales and a significant 66% in Scotland. Meanwhile, across the UK, 19% of public sector gyms are under in-house local authority management (no change), 14.5% are managed by an educational establishment (down 1.5%) and just 9% by a leisure management contractor (no change). GLL remains the leading UK public sector operator by number of gyms, with the trust operating exactly the same number of gyms – 191 – in 2023 as it did in 2022. In second place is Everyone Active (SLM) – the UK’s top leisure management contractor (LMC) – which added two gyms, taking it to 163. No other public operators have more than 100 gyms. Between them, the top 10 public sector operators now manage 747 gyms. Numbers have remained stable, rising by just three gyms (from 744). Meanwhile, in the last 12 months, the top 10 operators gained 132,000 members and their combined value rose by £74m. In the process, both member numbers and market value have returned to pre-Covid levels.

Public Gyms

2,538

Members

3.30 m

Market Value

£1.35 bn

Average Fee

£31.07

Penetration Rate

The last 12 months have seen the number of public sector gyms fall by 2.6%, but member numbers are up 3% and market value 3.5%.

4.9 %

48

STATE OF THE UK FITNESS INDUSTRY REPORT 2023

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