United Kingdom (UK) Construction Market Size, Trends and Forecasts by Sector – Commercial, Industrial, Infrastructure, Energy and Utilities, Institutional and Residential Market Analysis, 2022-2026

Pages: 56 Published: September 22, 2022 Report Code: GDCN0989MR

The United Kingdom (UK) construction market size was valued at $445.9 billion in 2021 and is expected to achieve an AAGR of more than 2% during 2023-2026. The industry’s growth has declined primarily due to the impact of high construction costs and supply chain disruptions, as well as the looming economic downturn amid soaring energy prices.

The UK construction market research report provides a detailed analysis of the UK construction industry’s growth prospects by market, project type, and construction activity. It also provides critical insights into the impact of industry trends and issues as well as an analysis of key risks and opportunities in the construction industry. Moreover, it provides an analysis of the mega-project pipeline, focusing on development stages and participants, in addition to listings of major projects in the pipeline.

United Kingdom (UK) Construction Market Size

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UK Construction Market Segmentation by Sectors

The key sectors in the UK construction market are commercial construction, industrial construction, infrastructure construction, energy & utilities construction, institutional construction, and residential construction.

Commercial Construction: The commercial construction sector is expected to shrink in real terms this year and next year, owing to the weak investor and consumer confidence amid rising living costs, as well as economic disruptions caused by the Russia-Ukraine war.
Industrial Construction: The industrial construction sector is expected to grow this year, supported by an improvement in manufacturing demand, new orders of manufacturing, and export activity.

Infrastructure Construction: The infrastructure construction sector’s output during the forecast period will be supported by investment in road, rail, port, and airport infrastructure projects.

Energy & Utilities Construction: Over the remainder of the forecast period, the sector’s output will be supported by investments in the renewable energy sector, in line with the government’s plan to construct 8GW of offshore wind plants by 2030.

Institutional Construction: The institutional construction sector’s output during the forecast period will be supported by public and private sector investment in healthcare, education, and research projects.

Residential Construction: The residential sector’s output during the forecast period will be supported by the government’s emphasis on affordable housing development, coupled with increasing investments in public and private regional housing development projects.

UK Construction Market Analysis by Sectors

UK Construction Market Analysis by Sectors

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Competitive Landscape

The leading contractors in the UK construction market are Balfour Beatty Plc, Kier Group Plc, Vinci SA, Royal Volker Wessels Stevin NV, Actividades de Construccion y Servicios SA, Skanska AB, Costain Group Plc, Mace Group Ltd, Sir Robert McAlpine Ltd, and Bouygues SA.

UK Construction Market Analysis by Contractors

UK Construction Market Analysis by Contractors

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The leading consultants in the UK construction market are AECOM, WSP Global Inc., Mott MacDonald Group Ltd, Arup Group Ltd, Jacobs Engineering Group Inc., SNC-Lavalin Group Inc., RPS Group Plc, Tetra Tech Inc., Grimshaw Architects, and Foster + Partners Ltd.

UK Construction Market Analysis by Consultants

UK Construction Market Analysis by Consultants

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UK Construction Market Report Overview

Market Size (2021) $445.9 billion
AAGR (2023-2026)  >2%
Key Sectors Commercial Construction, Industrial Construction, Infrastructure Construction, Energy & Utilities Construction, Institutional Construction, and Residential Construction
Leading Contractors Balfour Beatty Plc, Kier Group Plc, Vinci SA, Royal Volker Wessels Stevin NV, Actividades de Construccion y Servicios SA, Skanska AB, Costain Group Plc, Mace Group Ltd, Sir Robert McAlpine Ltd, and Bouygues SA
Leading Consultants AECOM, WSP Global Inc., Mott MacDonald Group Ltd, Arup Group Ltd, Jacobs Engineering Group Inc., SNC-Lavalin Group Inc., RPS Group Plc, Tetra Tech Inc., Grimshaw Architects, and Foster + Partners Ltd

Scope

This report provides a comprehensive analysis of the construction industry in the United Kingdom. It provides –

  • Historical and forecast valuations of the construction industry in the United Kingdom, featuring details of key growth drivers.
  • Segmentation by sector (commercial, industrial, infrastructure, energy & utilities, institutional and residential) and by sub-sector
  • Analysis of the mega-project pipeline, including breakdowns by development stage across all sectors, and projected spending on projects in the existing pipeline.
  • -Listings of major projects, in addition to details of leading contractors and consultants

Reasons to Buy

  • Identify and evaluate market opportunities using GlobalData’s standardized valuation and forecasting methodologies.
  • Assess market growth potential at a micro-level with over 600 time-series data forecasts.
  • Understand the latest industry and market trends.
  • Formulate and validate strategy using GlobalData’s critical and actionable insight.
  • Assess business risks, including cost, regulatory and competitive pressures.
  • Evaluate competitive risk and success factors.

Table of Contents

Table of Contents

1 Executive Summary

2 Construction Industry: At-a-Glance

3 Context

3.1 Economic Performance

3.2 Political Environment and Policy

3.3 Demographics

3.4 COVID-19 Status

3.5 Risk Profile

4 Construction Outlook

4.1 All Construction

– Outlook

– Latest news and developments

– Construction Projects Momentum Index

4.2 Commercial Construction

– Outlook

– Project analytics

– Latest news and developments

4.3 Industrial Construction

– Outlook

– Project analytics

– Latest news and developments

4.4 Infrastructure Construction

– Outlook

– Project analytics

– Latest news and developments

4.5 Energy and Utilities Construction

– Outlook

– Project analytics

– Latest news and developments

4.6 Institutional Construction

– Outlook

– Project analytics

– Latest news and developments

4.7 Residential Construction

– Outlook

– Project analytics

– Latest news and developments

5 Key Industry Participants

5.1 Contractors

5.2 Consultants

6 Construction Market Data

7 Appendix

7.1 What is this Report About?

7.2 Definitions

7.3 CRI Methodology

7.4 GlobalData Construction

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List of Tables

List of Tables

Table 1: Construction Industry Key Data

Table 2: The UK, Key Economic Indicators

Table 3: The UK, Commercial Construction Output by Project Type (Real % Change), 2017-26

Table 4: The UK, Top Commercial Construction Projects by Value

Table 5: The UK, Industrial Construction Output by Project Type (Real % Change), 2017-26

Table 6: The UK, Top Industrial Construction Projects by Value

Table 7: The UK, Infrastructure Construction Output by Project Type (Real % Change), 2017-26

Table 8: The UK, Top Infrastructure Construction Projects by Value

Table 9: The UK, Energy and Utilities Construction Output by Project Type (Real % Change), 2017-26

Table 10: The UK, Top Energy and Utilities Construction Projects by Value

Table 11: The UK, Institutional Construction Output by Project Type (Real % Change), 2017-26

Table 12: The UK, Top Institutional Construction Projects by Value

Table 13: The UK, Residential Construction Output by Project Type (Real % Change), 2017-26

Table 14: The UK, Top Residential Construction Projects by Value

Table 15: The UK, Key Contractors

Table 16: The UK, Key Consultants

Table 17: The UK, Construction Output Value (Real, $ Million)

Table 18: The UK, Construction Output Value (Nominal, GBP Million)

Table 19: GlobalData Construction Market Definitions

Table 20: Risk Dimensions

Table 21: Ratings, Scores and Definitions

List of Figures

List of Figures

Figure 1: Western Europe, Construction Output (Real % Change), 2020-26

Figure 2: The UK, Construction Output by Sector (Real % Change), 2020-22 and 2023-26

Figure 3: The UK, COVID-19 Confirmed Cases

Figure 4: The UK, Risk Summary

Figure 5: The UK, Risk Regional Comparison

Figure 6: The UK, Construction Output Value (Real, $ Billion, 2017 Prices and Exchange Rate), 2017-26

Figure 7: The UK, Construction Output Value, by Sector (Real, $ Million), 2017-26

Figure 8: The UK, Construction Output, Chained volume measures, seasonally adjusted (GBP Million)

Figure 9: The UK, New Orders for Construction, GBP Million, Constant Prices

Figure 10: The UK, Employment in the Construction Industry (‘000)

Figure 11: The UK, Construction Output Price Index, 2015=100, % Change YoY

Figure 12: The UK, Construction Projects Momentum Index

Figure 13: Region, Construction Projects Momentum Index

Figure 14: The UK, Commercial Construction Output by Project Type (Real, $ Million), 2017-26

Figure 15: The UK, Commercial Construction Projects Pipeline, Value by Stage ($ Million)

Figure 16: The UK, Private Commercial Construction Output, Chained Volume Measures, Seasonally Adjusted 2019 Prices

Figure 17: The UK, Construction Orders for Office and Entertainment Buildings, In GBP Million, Seasonally Unadjusted

Figure 18: The UK, Accommodation and Food Services Value Add (GBP Million, Constant Prices), Seasonally Adjusted

Figure 19: The UK, Retail Sales Index, Seasonally Adjusted, 2019=100

Figure 20: The UK, Industrial Construction Output by Project Type (Real, $ Million), 2017-26

Figure 21: The UK, Industrial Construction Projects Pipeline, Value by Stage ($ Million)

Figure 22: The UK, Manufacturing Value Add (GBP Million, Constant Prices), Seasonally Adjusted

Figure 23: The UK, Private Industrial Construction Output, Chained Volume Measures, Seasonally Adjusted 2019 Prices

Figure 24: The UK, New Orders for Private Industrial Construction (GBP Million, Constant Prices)

Figure 25: The UK, Total Merchandise Export (GBP Million)

Figure 26: The UK, Manufacturing Production Index, Seasonally Adjusted, 2019=100

Figure 27: The UK, Infrastructure Construction Output by Project Type (Real, $ Million), 2017-26

Figure 28: The UK, Infrastructure Construction Projects Pipeline, Value by Stage ($ Million)

Figure 29: The UK, Infrastructure Construction Output, Chained Volume Measures, Seasonally Adjusted 2019 Prices, GBP Million

Figure 30: The UK, Construction Orders for Rail, Road, and Harbor Construction, In GBP Million, Seasonally Unadjusted

Figure 31: The UK, Energy and Utilities Construction Output by Project Type (Real, $ Million), 2017-26

Figure 32: The UK, Energy and Utilities Construction Projects Pipeline, Value by Stage ($ Million)

Figure 33: The UK, Construction Orders for Electricity, Water, and Sewage Infrastructure, In GBP Million, Seasonally Unadjusted

Figure 34: The UK, Electricity Generated by Major Power Producers, In TWh

Figure 35: The UK, Electricity Consumption, In TWh

Figure 36: The UK, Institutional Construction Output by Project Type (Real, $ Million), 2017-26

Figure 37: The UK, Institutional Construction Projects Pipeline, Value by Stage ($ Million)

Figure 38: The UK, Construction Orders for Private Schools and Universities and Health Buildings, In GBP Million, Seasonally Unadjusted

Figure 39: The UK, Residential Construction Output by Project Type (Real, $ Million), 2017-26

Figure 40: The UK, Residential Construction Projects Pipeline, Value by Stage ($ Million)

Figure 41: The UK, New Housing Construction Output, Chained Volume Measures, Seasonally Adjusted 2019 Prices

Figure 42: The UK, Orders for New Housing Construction, GBP Million, Constant Prices, Seasonally Adjusted

Figure 43: The UK, Real Estate Value Add (GBP Million, Constant Prices), Seasonally Adjusted

Figure 44: The UK, Headquarters of Key Contractors (% of Total Project Pipeline)

Figure 45: The UK, Headquarters of Key Consultants (% of Total Project Pipeline)

Frequently Asked Questions

The construction market size in the UK was valued at $445.9 billion in 2021.

The construction market in the UK is expected to achieve an AAGR of more than 2% during 2023-2026.

The key sectors in the UK construction market are commercial construction, industrial construction, infrastructure construction, energy & utilities construction, institutional construction, and residential construction.

The leading contractors in the UK construction market are Balfour Beatty Plc, Kier Group Plc, Vinci SA, Royal Volker Wessels Stevin NV, Actividades de Construccion y Servicios SA, Skanska AB, Costain Group Plc, Mace Group Ltd, Sir Robert McAlpine Ltd, and Bouygues SA.

The leading consultants in the UK construction market are AECOM, WSP Global Inc., Mott MacDonald Group Ltd, Arup Group Ltd, Jacobs Engineering Group Inc., SNC-Lavalin Group Inc., RPS Group Plc, Tetra Tech Inc., Grimshaw Architects, and Foster + Partners Ltd.

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