Dublin, Jan. 16, 2024 (GLOBE NEWSWIRE) -- The "United Kingdom (UK) Construction Market Size, Trends, and Forecasts by Sector - Commercial, Industrial, Infrastructure, Energy and Utilities, Institutional and Residential Market France, 2023-2027" report has been added to ResearchAndMarkets.com's offering.
After holding up better than anticipated in 2023, the construction industry in the UK to shrink by 2.8% in real terms in 2024, with the sluggish economy, high interest rates and labour shortages, contributing to this overall weakening trend.
However, the overall trend in construction output masks some key differences across the sectors. Notably, the residential sector has been particularly weak in 2023 and will contract further in 2024, while the infrastructure sector has posted fast growth, and although activity levels will drop back in 2024 they will remain relatively high.
The rising number of insolvencies in the construction industry will also pose a downside risk to the industry's output in the coming quarters. According to the UK government's monthly insolvency statistics, 4,287 construction firms collapsed in the last 12 months, ending September 2023. Of the total, 212 companies were involved in civil engineering works, 1,600 in building construction activities, and 2,475 in specialized construction activities.
The industry is however expected to recover at an average annual growth rate of 3% from 2025 to 2027, supported by investments in renewable energy, industrial and infrastructure projects. The UK government aims to increase the country's offshore wind capacity fivefold, to 50GW by 2030; this includes a target of 5GW of floating offshore wind farms and 10GW of low-carbon hydrogen production by that year.
In late November 2023, the Spanish renewable energy giant Iberdrola announced that it will invest approximately GBP12.1 billion ($15 billion) in transmission grid and renewable energy projects in Britain by 2028. Previously, in October 2023, the Japanese integrated trading and investment business conglomerate Marubeni Corporation signed a memorandum of understanding (MoU) with the UK government to invest GBP10 billion ($12.3 billion) in clean energy in the country, over the next ten years.
Over the long term, the industry's growth will be supported by the government's plan to reduce greenhouse gas emissions by 100% by 2050. To support this target, it has introduced the 'Heat and Buildings Strategy' in 2020, which aims to install 600,000 heat pumps per year by 2028. In 2022, 72,000 heat pumps were installed in the country.
Scope
- Historical (2018-2022) and forecast (2023-2027) valuations of the construction industry in the UK, featuring details of key growth drivers.
- Segmentation by sector (commercial, industrial, infrastructure, energy and 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 the 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 the critical and actionable insight.
- Assess business risks, including cost, regulatory and competitive pressures.
- Evaluate competitive risk and success factors.
Key Topics Covered:
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 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
For more information about this report visit https://www.researchandmarkets.com/r/swmjd6
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