United Kingdom OTT Market Trends and Insights
Strong Transition From Linear TV to On-Demand Viewing
Live television viewing declined on a per-person, per-day basis compared with the previous year. Weekly reach for live or recorded broadcast television also declined over the period. The change extended across age groups, including older viewers, which shows that the shift is broader than younger viewers replacing older ones. Broadcaster video-on-demand services partly absorbed this movement, as weekly reach and time spent on these services increased. The United Kingdom OTT market also faces competition for viewing time because total in-home video viewing has declined. Ofcom's prominence framework supports domestic services by requiring public service broadcaster applications to remain easy to find on smart television interfaces, which preserves their access to viewers when device home screens also feature global streaming applications.Rising Adoption of Ad-Supported Tiers Across Major OTT Platforms
Netflix's ad-supported plan reached a substantial share of its UK subscribers, compared with a lower share previously. Disney+'s corresponding share also increased, while Amazon Prime Video's ad-supported option accounted for most of its UK subscriber base. The United Kingdom OTT market is therefore increasingly shaped by advertising yield, audience targeting, and access to first-party data rather than subscriber totals alone, especially as household penetration limits acquisition-led growth. Platforms can keep price-sensitive viewers in their ecosystems by offering a lower-priced plan with advertising while retaining a higher-priced ad-free option for other households.Netflix reported that a majority of new subscribers in territories with an ad plan chose that option instead of a premium plan. This pattern indicates that the ad-supported model still has room to develop in the UK despite already high adoption, but it also raises the importance of inventory quality and advertiser demand.Subscription Fatigue Among Multi-Service Households
Many UK households hold several services, which makes monthly cancellation and rejoining a practical way to control spending when major titles are released at different times. The United Kingdom OTT market is exposed to this behavior because free domestic services, including BBC iPlayer, ITVX, and Channel 4 Streaming, provide established local programming without a direct subscription charge. Households that rotate paid services may still value the content, but their changing subscriptions make platform revenue less predictable and reduce the value of promotional acquisition. Broadcaster video-on-demand viewing grew, showing the relevance of free, ad-funded alternatives. Platforms must therefore give viewers clear reasons to maintain a paid service between major releases or sports events, whether through programming, plan choice, or a useful bundle. Bundles and differentiated content can reduce this pressure, but they do not remove the basic need for households to manage costs.Other drivers and restraints analyzed in the detailed report include:
- Growth of Connected TV and Big-Screen Streaming Consumption
- Premium Sports and Local Content Rights Supporting Subscriber Retention
- Intensifying Price Sensitivity and Tier Downgrades
Segment Analysis
SVOD accounted for 58.44% of UK paid streaming revenue in 2025, supported by Netflix, Amazon Prime Video, Disney+, and Discovery+. Netflix was present in 61% of UK households in Q1 2026, compared with 46.1% for Amazon Prime Video and 26.1% for Disney+. These services accounted for 80% of UK SVOD revenue, reflecting their content investment, established user bases, and household familiarity, and their earlier expansion also gave them a stronger position in a mature household-subscription market. The United Kingdom OTT market has reached a high level of subscriptions, so revenue growth is expected to rely more on price increases, premium plans, and bundles than on new household adoption.The hybrid subscription-and-ads model is projected to grow at a 7.96% CAGR from 2026 to 2031. Ad-supported plans provide a route for services to retain customers who do not want to pay for an ad-free tier. Domestic broadcaster services also expanded their on-demand viewing by 9% in 2025, reinforcing the role of ad-funded video. TVOD continues to serve viewers seeking new releases and early digital viewing windows, while services such as Rakuten TV operate across advertising and transaction-led formats. MUBI maintains a distinct position across subscription and transaction-led viewing for art-house and independent cinema, where a focused catalog and distinct release strategy separate it from larger general entertainment services.
Complete Report Scope:
- By Revenue Model
- SVOD
- AVOD
- TVOD
- Hybrid, Subscription and Ads
- By Device Type
- Smartphones and Tablets
- Smart TVs
- Laptops and Desktops
- Other Device Types
- By Content Genre
- Movies and Films
- TV Shows and Episodic Content
- Documentaries
- Other Content Genres
List of Companies Covered in this Report:
- Netflix, Inc.
- Amazon.com, Inc.
- The Walt Disney Company
- Alphabet Inc.
- British Broadcasting Corporation
- ITV plc
- Comcast Corporation
- Channel Four Television Corporation
- Paramount, a Skydance Corporation
- Warner Bros. Discovery, Inc.
- Apple Inc.
- DAZN Group Limited
- Rakuten Group, Inc.
- Fox Corporation
- Everyone TV Limited
- STV Group plc
- Sony Group Corporation
- Samsung Electronics Co., Ltd.
- MUBI, Inc.
- Plex, Inc.
Additional Benefits:
- The market estimate (ME) sheet in Excel format
- 3 months of analyst support
Table of Contents
Companies Mentioned (Partial List)
A selection of companies mentioned in this report includes, but is not limited to:
- Netflix, Inc.
- Amazon.com, Inc.
- The Walt Disney Company
- Alphabet Inc.
- British Broadcasting Corporation
- ITV plc
- Comcast Corporation
- Channel Four Television Corporation
- Paramount, a Skydance Corporation
- Warner Bros. Discovery, Inc.
- Apple Inc.
- DAZN Group Limited
- Rakuten Group, Inc.
- Fox Corporation
- Everyone TV Limited
- STV Group plc
- Sony Group Corporation
- Samsung Electronics Co., Ltd.
- MUBI, Inc.
- Plex, Inc.

