- ECONOMIC IMPACT -

Latest update: 19 January

According to the ONS, the UK’s economy grew by 0.9% in November 2021, surpassing its pre-pandemic level GDP.

UK think tank the Centre for Economics and Business Research projects global economy growth at 4% in 2022 compared to an estimated 5.1% growth in 2021.

4.5%.

Positive GDP growth is forecast in all countries; 2022 consensus forecast for global GDP growth is currently 4.5%.

5.5%

Unemployment in the OECD nations stood at 5.5% in November 2021, compared to 5.7% in October 2021.

ECONOMIC RECOVERY

- SECTOR IMPACT: MEDICAL DEVICES -

Latest update: 7 January

$1.5bn

According to GlobalData, the global market for hearing implants is estimated to total nearly $1.5bn in 2021, growing to over $2.2bn by 2030. Hearing Implants, which include cochlear implants and other types of implantable devices, continue to dominate the ENT market, especially within the US.

-28%

GlobalData estimates that the overall revenues of dental devices declined by 28% in 2020 compared to 2019. This represents a loss of $5bn in missed revenue.

Medical value chain impact

Short and medium-term impact

As concerns over availability of materials subside, manufacturing process will begin to resume, but will initially lag relative to regular operations. Developers of Covid-19 interventions could thrive; the

bulk of the industry will be challenged with supply chain interruptions and limited procedures.


Long-term impact

Growth will be derived from opportunities to manufacture and support distribution of Covid-19 tests and test capabilities. The need for devices will grow above pre-Covie-19 levels due to the increased number of procedures to catch up the delay. In some cases, not all missed procedures will be caught up.

Key Medical device market developments

Anaesthesia and respiratory devices

While hospitals are facing regional outbreaks, demand for respiratory equipment is falling due to load purchasing, improved clinical outcomes and vaccination efforts. GlobalData expects the market to return to pre-pandemic levels in 2022. Providers of critical equipment, such as CPAP machines, are now experiencing supply issues due to the ongoing semiconductor shortage.


Cardiovascular devices

Medtronic reported $2,827m global cardiovascular revenue in its recent FY22 Q2 earnings report, representing a 3.7% growth year-over-year. However, in the US, cardiovascular revenues declined 0.3% year over year. Medtronic reported 25.2% growth in its emerging markets, representing an additional $102m of revenue. This highlights the uneven and fragile nature of recovery from the pandemic.


Diabetes care devices

Smart Meter has published new survey findings revealing that only 18% of respondents' glucose monitors are enabled to share data directly to their providers. In the Covid-19 era, there is an opportunity to increase remote patient monitoring in devices. GlobalData surveys show that patients are supportive of continued telemedicine, and that this is likely to be sustained in the post-pandemic period. There may be further opportunity to improve continuous glucose monitors, with respect to remote monitoring capabilities.

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