In its fourth annual 10-year business aviation market forecast Jetcraft has reaffirmed that steady growth in the private jet industry is set to continue. It predicts 8,736 unit deliveries over the next 10 years representing $271 billion in revenues based on 2018 pricing. North America will once again take the lead, accounting for 60 per cent (5,241) of predicted new unit deliveries over the coming decade, with Europe expecting 18 per cent (1,572) and Asia Pacific 13 per cent (1,136).

Owner and chairman of the aircraft sales brokerage Jahid Fazal-Karim says: “2018 has been a real turning point for business aviation as we have successfully navigated through our industry's most difficult period. This year's forecast predicts the continuation of our current business cycle of steady and healthy growth, driven by an increase in wealth creation and the demand for larger and more expensive aircraft.”

The report shows how an increase in wealth creation over the past decade has spurred growth in family offices that are now offering a wide variety of specialised services, including business aviation. Together with the increase in block charter and fractional programmes, this is exposing more UHNWIs to the industry than ever before.

However, despite continued economic growth, it finds that Fortune 500 companies have yet to return to historical aircraft transaction levels due to maintaining a focus on other financial priorities such as share buybacks and paying down debt. This customer segment is unlikely to restart aircraft purchasing programmes until well into the cycle.

The forecast predicts that the large jet category, comprising super large, ultra long range and converted airline segments, will constitute 32 per cent of total units (2,778) and 64 per cent of total revenue over the next decade. All new aircraft model programmes, both announced and projected during the forecast period, are exclusively widebodies.

While the industry is set to embark on a period of substantial growth, its resilience during the challenges of the previous business cycle has prepared it well for expansion. Fazal-Karim adds: “We're confident that the lessons we've learned over the past decade will ensure sustainable growth for business aviation in the years to come. Ours is an enduring industry, and one with a buoyant future ahead.”