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    UK Cloud Infrastructure Services Market

    ID: MRFR/ICT/62460-HCR
    200 Pages
    Aarti Dhapte
    September 2025

    UK Cloud Infrastructure Services Market Research Report By Service Model (Infrastructure as a Service, Platform as a Service, Software as a Service), By Deployment Type (Public Cloud, Private Cloud, Hybrid Cloud), By End User (Small and Medium Enterprises, Large Enterprises, Government) and By Industry Vertical (IT and Telecommunications, Healthcare, Retail)- Forecast to 2035

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    Table of Contents

    UK Cloud Infrastructure Services Market Summary

    The United Kingdom Cloud Infrastructure Services market is poised for substantial growth, expanding from 4.89 USD Billion in 2024 to 18.7 USD Billion by 2035.

    Key Market Trends & Highlights

    UK Cloud Infrastructure Services Key Trends and Highlights

    • The market is projected to grow from 4.89 USD Billion in 2024 to 18.7 USD Billion by 2035.
    • The compound annual growth rate (CAGR) for the period from 2025 to 2035 is estimated at 12.99%.
    • This growth trajectory indicates a robust demand for cloud infrastructure services in the UK.
    • Growing adoption of cloud technologies due to increasing digital transformation initiatives is a major market driver.

    Market Size & Forecast

    2024 Market Size 4.89 (USD Billion)
    2035 Market Size 18.7 (USD Billion)
    CAGR (2025-2035) 12.99%

    Major Players

    Oracle, Google, DigitalOcean, Salesforce, IBM, Alibaba, Amazon, OVHcloud, Microsoft

    UK Cloud Infrastructure Services Market Trends

    The UK market offers a wealth of opportunities, especially in industries like healthcare, banking, and education. Specialized cloud services that can comply with strict rules like GDPR are in high demand as a result of the increased emphasis on data security and compliance. Additionally, the popularity of remote work has raised demand for services and tools for collaboration, which cloud infrastructure can effectively supply. Businesses with the ability to innovate and provide customized cloud solutions will probably take a sizable chunk of this changing market.

    Trends show that hybrid cloud adoption has increased recently as businesses look to balance the advantages of private and public cloud services. 

    UK Cloud Infrastructure Services Market Drivers

    Market Segment Insights

    UK Cloud Infrastructure Services Market Segment Insights

    UK Cloud Infrastructure Services Market Segment Insights

    Cloud Infrastructure Services Market Service Model Insights

    Cloud Infrastructure Services Market Service Model Insights

    The UK Cloud Infrastructure Services Market is steadily evolving, particularly in the Service Model segment, which encompasses various delivery frameworks tailored to meet diverse organizational needs. This segment has seen significant growth as businesses increasingly recognize the flexibility and efficiency offered by cloud-based solutions. Cloud adoption trends reveal that organizations in the UK are shifting towards a digital-first approach, greatly influenced by the rising need for scalable infrastructure, cost efficiency, and enhanced operational agility. Within this landscape, Infrastructure as a Service (IaaS) stands out as a vital offering, enabling businesses to access and manage virtualized computing resources over the internet.

    This model is particularly important for enterprises looking to reduce capital expenditures and streamline IT operations, thereby fostering innovation and speeding up time-to-market for various applications.

    Conversely, Platform as a Service (PaaS) serves a critical role in application development, providing developers with the necessary tools and environment to create, test, and deploy applications without the complexities of managing underlying infrastructure. The significant growing demand for agile development and continuous deployment processes in the UK is pushing many companies to leverage PaaS solutions, which can significantly enhance productivity and collaboration among development teams. Furthermore, Software as a Service (SaaS) is also gaining wider acceptance, allowing organizations to consume software applications over the internet on a subscription basis.

    This delivery method is significant due to its ability to reduce the burden of software maintenance and upgrade issues, providing users with the latest features and enhancements automatically.

    Cloud Infrastructure Services Market Deployment Type Insights

    Cloud Infrastructure Services Market Deployment Type Insights

    The Deployment Type segment of the UK Cloud Infrastructure Services Market represents a critical area of growth and innovation, encompassing Public Cloud, Private Cloud, and Hybrid Cloud solutions. Public Cloud services have continued to gain traction among UK businesses due to their scalability and cost-effectiveness, positioning themselves as a dominant force within the market. Private Cloud offerings cater to organizations emphasizing security and compliance, often becoming the preferred choice for sectors like finance and healthcare, offering tailored solutions that ensure data privacy.

    Meanwhile, Hybrid Cloud combines the best of both worlds, allowing organizations to leverage the flexibility of public resources while maintaining critical operations on private infrastructure. This segment is significant as it provides a hybrid environment that supports varying workloads and is vital for businesses looking to optimize their IT strategies. The evolving landscape, driven by demand for digitalization, remote work, and data analytics in the UK, presents substantial opportunities for companies to adapt and enhance their cloud strategies, making the Deployment Type segment essential to understanding the broader dynamics of the UK Cloud Infrastructure Services Market.

    Cloud Infrastructure Services Market End User Insights

    Cloud Infrastructure Services Market End User Insights

    The UK Cloud Infrastructure Services Market has experienced significant growth driven by the increasing dependency on digital solutions across various end users. Small and Medium Enterprises (SMEs) have become essential players in this landscape, leveraging cloud services to enhance operational efficiency and reduce costs, ultimately enabling them to compete with larger firms.

    Large Enterprises, on the other hand, dominate the market due to their substantial IT budgets and the complexities of managing vast amounts of data, often opting for hybrid cloud solutions to meet their diverse needs.The Government sector is also a major consumer of cloud infrastructure services, focusing on improving public services and enhancing data security without compromising on accessibility. 

    The need for scalability and flexibility has fueled adoption trends in this segment, as organizations align their digital transformation initiatives with operational goals. Market growth is further supported by an evolving regulatory landscape, encouraging public sector bodies to adopt cloud solutions while navigating compliance challenges effectively.Overall, the UK Cloud Infrastructure Services Market segmentation highlights the diverse needs and significant contributions of various end users, emphasizing their critical roles in shaping the future of cloud adoption in the region.

    Cloud Infrastructure Services Market Industry Vertical Insights

    Cloud Infrastructure Services Market Industry Vertical Insights

    The UK Cloud Infrastructure Services Market has shown significant growth and diversification across various industry verticals. The IT and Telecommunications sector, emerging as a leader within the market, drives demand for scalable and flexible cloud solutions, particularly for data storage and computing power. This vertical is pivotal as it facilitates digital transformations across businesses, optimizing operations and enhancing customer experiences. In the Healthcare sector, cloud infrastructure enables secure data sharing and management, making it critical for electronic medical records and telemedicine services, thus ensuring compliance and efficiency.

    The Retail industry capitalizes on cloud solutions for inventory management, personalized customer experiences, and seamless supply chain operations, contributing to better decision-making and responsiveness to market dynamics. Overall, these verticals illustrate the extensive applicability and strategic importance of cloud infrastructure in driving operational efficiencies, enhancing service delivery, and supporting innovative business models across the UK landscape. The ongoing advancements in cloud computing technologies further position these sectors for robust growth as they adopt more integrated and smart solutions.

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    Regional Insights

    Key Players and Competitive Insights

    The UK Cloud Infrastructure Services Market is witnessing robust competition characterized by a dynamic landscape of major players, each vying for market share amidst growing demand for innovative cloud solutions. This market's competitive insights underscore the rapid adoption of cloud computing technologies by businesses across various sectors, driven by the need for scalability, flexibility, and cost efficiency. As enterprises increasingly shift their operations to the cloud, market participants are compelled to enhance their service offerings, improve infrastructure resilience, and ensure compliance with regulatory frameworks, especially data privacy laws.

    The competitive environment is further intensifying as companies pivot towards hybrid and multi-cloud strategies, prompting investment in innovative service packages and improved customer support to gain a competitive edge.Oracle has established a significant presence in the UK Cloud Infrastructure Services Market, leveraging its extensive portfolio to meet diverse customer needs. 

    The company's strengths lie in its robust enterprise solutions, including databases, application platforms, and cloud services designed for businesses seeking reliable performance and scalability. Oracle's ability to integrate its advanced technologies, such as autonomous databases and machine learning capabilities, into cloud offerings positions it as a trusted partner for organizations striving for digital transformation. The company's commitment to enhancing data security and compliance within its cloud solutions resonates well with UK enterprises navigating stringent regulatory environments.

    Furthermore, Oracle's strategic partnerships and collaborations with local businesses strengthen its market foothold and enhance its brand reputation in the region.With its cutting-edge skills in data analytics, AI integration, and scalable cloud solutions under Google Cloud Platform (GCP), Google is dominating the UK Cloud Infrastructure Services Market. 

    The company specializes in helping businesses manage workloads across various environments by assisting them with hybrid and multi-cloud solutions. Its market influence is increased by its solid alliances with public sector institutions and UK-based organizations. With its focus on sustainability and provision of energy-efficient data centers, Google also satisfies the UK's increasing need for environmentally friendly solutions. Google responds to important industry demands like security, compliance, and performance by making investments in innovation and growing local infrastructure.

    Its ongoing emphasis on cutting-edge technology, such as big data analytics and machine learning, places it in a crucial position to support digital transformation in the UK across all industries.

    Key Companies in the UK Cloud Infrastructure Services Market market include

    Industry Developments

    Recent developments in the UK Cloud Infrastructure Services Market include significant growth driven by increased digital transformation across various sectors. Companies like Amazon, Microsoft, and Google have expanded their cloud offerings, responding to soaring demand for flexible infrastructure solutions.In July 2025, the UK government and Google Cloud reached an agreement on a comprehensive plan to assist national digital transformation goals by modernizing public sector systems by moving legacy infrastructure to the cloud and providing up to 100,000 civil workers with advanced digital skills by 2030.

    The UK's competition authority came to the conclusion in July 2025 that Microsoft and Amazon Web Services' dominant positions in cloud infrastructure are limiting competition and could result in the designation of a strategic market status. 

    This decision paved the way for targeted regulatory interventions aimed at promoting a more competitive environment. By purchasing the AWS-focused firm Ubertas Consulting in March 2024, Devoteam increased its footprint in the UK, bolstering its capacity to support Amazon-based cloud transformation and expanding its cloud services capabilities throughout the UK and Ireland.Ongoing regulatory discussions also influence the market focused on privacy and data localization, which challenge cloud providers but create opportunities for compliance-focused services. Over the past few years, investments have surged, with estimates suggesting a market valuation exceeding 15 billion and growth rates of over 20% anticipated through 2025.

    Market Segmentation

    Cloud Infrastructure Services Market End User Outlook

    • Small and Medium Enterprises
    • Large Enterprises
    • Government

    Cloud Infrastructure Services Market Service Model Outlook

    • Infrastructure as a Service
    • Platform as a Service
    • Software as a Service

    Cloud Infrastructure Services Market Deployment Type Outlook

    • Public Cloud
    • Private Cloud
    • Hybrid Cloud

    Cloud Infrastructure Services Market Industry Vertical Outlook

    • IT and Telecommunications
    • Healthcare
    • Retail

    Report Scope

     

    Report Attribute/Metric Source: Details
    MARKET SIZE 2023 4.37(USD Billion)
    MARKET SIZE 2024 4.89(USD Billion)
    MARKET SIZE 2035 18.75(USD Billion)
    COMPOUND ANNUAL GROWTH RATE (CAGR) 12.993% (2025 - 2035)
    REPORT COVERAGE Revenue Forecast, Competitive Landscape, Growth Factors, and Trends
    BASE YEAR 2024
    MARKET FORECAST PERIOD 2025 - 2035
    HISTORICAL DATA 2019 - 2024
    MARKET FORECAST UNITS USD Billion
    KEY COMPANIES PROFILED Oracle, VMware, Google, Rackspace, DigitalOcean, Red Hat, Salesforce, Linode, Heroku, IBM, Alibaba, Amazon, OVHcloud, Microsoft, Akamai
    SEGMENTS COVERED Service Model, Deployment Type, End User, Industry Vertical
    KEY MARKET OPPORTUNITIES Hybrid cloud adoption surge, Increased demand for data security, Growth in IoT integration, Expansion of AI and machine learning, Regulatory compliance driving service growth
    KEY MARKET DYNAMICS increased demand for scalability, growing focus on data security, rise of hybrid cloud solutions, regulatory compliance requirements, cost optimization and efficiency
    COUNTRIES COVERED UK

    Market Highlights

    Author
    Aarti Dhapte
    Team Lead - Research

    She holds an experience of about 6+ years in Market Research and Business Consulting, working under the spectrum of Information Communication Technology, Telecommunications and Semiconductor domains. Aarti conceptualizes and implements a scalable business strategy and provides strategic leadership to the clients. Her expertise lies in market estimation, competitive intelligence, pipeline analysis, customer assessment, etc.

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    FAQs

    What is the expected market size of the UK Cloud Infrastructure Services Market in 2024?

    The UK Cloud Infrastructure Services Market is expected to be valued at 4.89 USD Billion in 2024.

    What will be the market size of the UK Cloud Infrastructure Services Market in 2035?

    By 2035, the market is anticipated to reach a value of 18.75 USD Billion.

    What is the expected compound annual growth rate (CAGR) for the UK Cloud Infrastructure Services Market from 2025 to 2035?

    The market is projected to grow at a CAGR of 12.993% during the forecast period from 2025 to 2035.

    Which service model is expected to dominate the UK Cloud Infrastructure Services Market in 2035?

    Infrastructure as a Service is expected to dominate the market, valued at 7.0 USD Billion in 2035.

    What are the projected values for Platform as a Service in the UK Cloud Infrastructure Services Market over the forecast period?

    Platform as a Service is estimated to grow from 1.15 USD Billion in 2024 to 4.5 USD Billion in 2035.

    How much is the Software as a Service segment expected to be worth in 2024?

    The Software as a Service segment is expected to be valued at 2.0 USD Billion in 2024.

    Who are the major players in the UK Cloud Infrastructure Services Market?

    Key players in the market include Oracle, VMware, Google, Rackspace, DigitalOcean, and Amazon among others.

    How will the growth rate for the UK Cloud Infrastructure Services Market vary for specific segments by 2035?

    By 2035, Infrastructure as a Service is set to see substantial growth while Platform as a Service and Software as a Service are also expected to expand significantly.

    What are the primary growth drivers for the UK Cloud Infrastructure Services Market?

    The primary growth drivers include increasing digital transformation initiatives and the demand for scalable cloud solutions.

    What challenges might the UK Cloud Infrastructure Services Market face in the coming years?

    The market may encounter challenges such as data security concerns and regulatory compliance requirements.

    1. EXECUTIVE
    2. SUMMARY
    3. Market Overview
    4. Key Findings
    5. Market Segmentation
    6. Competitive Landscape
    7. Challenges and Opportunities
    8. Future Outlook
    9. MARKET INTRODUCTION
    10. Definition
    11. Scope of the study
    12. Research Objective
    13. Assumption
    14. Limitations
    15. RESEARCH
    16. METHODOLOGY
    17. Overview
    18. Data
    19. Mining
    20. Secondary Research
    21. Primary
    22. Research
    23. Primary Interviews and Information Gathering
    24. Process
    25. Breakdown of Primary Respondents
    26. Forecasting
    27. Model
    28. Market Size Estimation
    29. Bottom-Up
    30. Approach
    31. Top-Down Approach
    32. Data
    33. Triangulation
    34. Validation
    35. MARKET
    36. DYNAMICS
    37. Overview
    38. Drivers
    39. Restraints
    40. Opportunities
    41. MARKET FACTOR ANALYSIS
    42. Value chain Analysis
    43. Porter's
    44. Five Forces Analysis
    45. Bargaining Power of Suppliers
    46. Bargaining
    47. Power of Buyers
    48. Threat of New Entrants
    49. Threat
    50. of Substitutes
    51. Intensity of Rivalry
    52. COVID-19
    53. Impact Analysis
    54. Market Impact Analysis
    55. Regional
    56. Impact
    57. Opportunity and Threat Analysis
    58. UK
    59. Cloud Infrastructure Services Market, BY Service Model (USD Billion)
    60. Infrastructure
    61. as a Service
    62. Platform as a Service
    63. Software
    64. as a Service
    65. UK Cloud Infrastructure
    66. Services Market, BY Deployment Type (USD Billion)
    67. Public
    68. Cloud
    69. Private Cloud
    70. Hybrid
    71. Cloud
    72. UK Cloud Infrastructure
    73. Services Market, BY End User (USD Billion)
    74. Small
    75. and Medium Enterprises
    76. Large Enterprises
    77. Government
    78. UK
    79. Cloud Infrastructure Services Market, BY Industry Vertical (USD Billion)
    80. IT
    81. and Telecommunications
    82. Healthcare
    83. Retail
    84. Competitive Landscape
    85. Overview
    86. Competitive
    87. Analysis
    88. Market share Analysis
    89. Major
    90. Growth Strategy in the Cloud Infrastructure Services Market
    91. Competitive
    92. Benchmarking
    93. Leading Players in Terms of Number of Developments
    94. in the Cloud Infrastructure Services Market
    95. Key developments
    96. and growth strategies
    97. New Product Launch/Service Deployment
    98. Merger
    99. & Acquisitions
    100. Joint Ventures
    101. Major
    102. Players Financial Matrix
    103. Sales and Operating Income
    104. Major
    105. Players R&D Expenditure. 2023
    106. Company
    107. Profiles
    108. Oracle
    109. Financial
    110. Overview
    111. Products Offered
    112. Key
    113. Developments
    114. SWOT Analysis
    115. Key
    116. Strategies
    117. VMware
    118. Financial
    119. Overview
    120. Products Offered
    121. Key
    122. Developments
    123. SWOT Analysis
    124. Key
    125. Strategies
    126. Google
    127. Financial
    128. Overview
    129. Products Offered
    130. Key
    131. Developments
    132. SWOT Analysis
    133. Key
    134. Strategies
    135. Rackspace
    136. Financial
    137. Overview
    138. Products Offered
    139. Key
    140. Developments
    141. SWOT Analysis
    142. Key
    143. Strategies
    144. DigitalOcean
    145. Financial
    146. Overview
    147. Products Offered
    148. Key
    149. Developments
    150. SWOT Analysis
    151. Key
    152. Strategies
    153. Red Hat
    154. Financial
    155. Overview
    156. Products Offered
    157. Key
    158. Developments
    159. SWOT Analysis
    160. Key
    161. Strategies
    162. Salesforce
    163. Financial
    164. Overview
    165. Products Offered
    166. Key
    167. Developments
    168. SWOT Analysis
    169. Key
    170. Strategies
    171. Linode
    172. Financial
    173. Overview
    174. Products Offered
    175. Key
    176. Developments
    177. SWOT Analysis
    178. Key
    179. Strategies
    180. Heroku
    181. Financial
    182. Overview
    183. Products Offered
    184. Key
    185. Developments
    186. SWOT Analysis
    187. Key
    188. Strategies
    189. IBM
    190. Financial
    191. Overview
    192. Products Offered
    193. Key
    194. Developments
    195. SWOT Analysis
    196. Key
    197. Strategies
    198. Alibaba
    199. Financial
    200. Overview
    201. Products Offered
    202. Key
    203. Developments
    204. SWOT Analysis
    205. Key
    206. Strategies
    207. Amazon
    208. Financial
    209. Overview
    210. Products Offered
    211. Key
    212. Developments
    213. SWOT Analysis
    214. Key
    215. Strategies
    216. OVHcloud
    217. Financial
    218. Overview
    219. Products Offered
    220. Key
    221. Developments
    222. SWOT Analysis
    223. Key
    224. Strategies
    225. Microsoft
    226. Financial
    227. Overview
    228. Products Offered
    229. Key
    230. Developments
    231. SWOT Analysis
    232. Key
    233. Strategies
    234. Akamai
    235. Financial
    236. Overview
    237. Products Offered
    238. Key
    239. Developments
    240. SWOT Analysis
    241. Key
    242. Strategies
    243. References
    244. Related
    245. Reports
    246. LIST
    247. OF ASSUMPTIONS
    248. UK Cloud Infrastructure Services Market
    249. SIZE ESTIMATES & FORECAST, BY SERVICE MODEL, 2019-2035 (USD Billions)
    250. UK
    251. Cloud Infrastructure Services Market SIZE ESTIMATES & FORECAST, BY DEPLOYMENT
    252. TYPE, 2019-2035 (USD Billions)
    253. UK Cloud Infrastructure
    254. Services Market SIZE ESTIMATES & FORECAST, BY END USER, 2019-2035 (USD Billions)
    255. UK
    256. Cloud Infrastructure Services Market SIZE ESTIMATES & FORECAST, BY INDUSTRY
    257. VERTICAL, 2019-2035 (USD Billions)
    258. PRODUCT LAUNCH/PRODUCT
    259. DEVELOPMENT/APPROVAL
    260. ACQUISITION/PARTNERSHIP
    261. LIST
    262. Of figures
    263. MARKET SYNOPSIS
    264. UK
    265. CLOUD INFRASTRUCTURE SERVICES MARKET ANALYSIS BY SERVICE MODEL
    266. UK
    267. CLOUD INFRASTRUCTURE SERVICES MARKET ANALYSIS BY DEPLOYMENT TYPE
    268. UK
    269. CLOUD INFRASTRUCTURE SERVICES MARKET ANALYSIS BY END USER
    270. UK
    271. CLOUD INFRASTRUCTURE SERVICES MARKET ANALYSIS BY INDUSTRY VERTICAL
    272. KEY
    273. BUYING CRITERIA OF CLOUD INFRASTRUCTURE SERVICES MARKET
    274. RESEARCH
    275. PROCESS OF MRFR
    276. DRO ANALYSIS OF CLOUD INFRASTRUCTURE
    277. SERVICES MARKET
    278. DRIVERS IMPACT ANALYSIS: CLOUD INFRASTRUCTURE
    279. SERVICES MARKET
    280. RESTRAINTS IMPACT ANALYSIS: CLOUD INFRASTRUCTURE
    281. SERVICES MARKET
    282. SUPPLY / VALUE CHAIN: CLOUD INFRASTRUCTURE
    283. SERVICES MARKET
    284. CLOUD INFRASTRUCTURE SERVICES MARKET,
    285. BY SERVICE MODEL, 2025 (% SHARE)
    286. CLOUD INFRASTRUCTURE
    287. SERVICES MARKET, BY SERVICE MODEL, 2019 TO 2035 (USD Billions)
    288. CLOUD
    289. INFRASTRUCTURE SERVICES MARKET, BY DEPLOYMENT TYPE, 2025 (% SHARE)
    290. CLOUD
    291. INFRASTRUCTURE SERVICES MARKET, BY DEPLOYMENT TYPE, 2019 TO 2035 (USD Billions)
    292. CLOUD
    293. INFRASTRUCTURE SERVICES MARKET, BY END USER, 2025 (% SHARE)
    294. CLOUD
    295. INFRASTRUCTURE SERVICES MARKET, BY END USER, 2019 TO 2035 (USD Billions)
    296. CLOUD
    297. INFRASTRUCTURE SERVICES MARKET, BY INDUSTRY VERTICAL, 2025 (% SHARE)
    298. CLOUD
    299. INFRASTRUCTURE SERVICES MARKET, BY INDUSTRY VERTICAL, 2019 TO 2035 (USD Billions)
    300. BENCHMARKING
    301. OF MAJOR COMPETITORS

    UK Cloud Infrastructure Services Market Segmentation

    • Cloud Infrastructure Services Market By Service Model (USD Billion, 2019-2035)

      • Infrastructure as a Service
      • Platform as a Service
      • Software as a Service

     

    • Cloud Infrastructure Services Market By Deployment Type (USD Billion, 2019-2035)

      • Public Cloud
      • Private Cloud
      • Hybrid Cloud

     

    • Cloud Infrastructure Services Market By End User (USD Billion, 2019-2035)

      • Small and Medium Enterprises
      • Large Enterprises
      • Government

     

    • Cloud Infrastructure Services Market By Industry Vertical (USD Billion, 2019-2035)

      • IT and Telecommunications
      • Healthcare
      • Retail

     

     

     

     

     

     

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