The "United Kingdom Construction Industry Databook Series Market Size Forecast by Value Volume, 40+ Market Segments Across Residential, Commercial, Industrial, Institutional, Infrastructure, City-Level Construction by Value and Cost Structure, Q4 2025 Update" report has been added to ResearchAndMarkets.com's offering.
According to the analyst, the construction market in United Kingdom is expected to grow by 4.5% on annual basis to reach GBP 168.60 billion in 2025.
The construction market in the country experienced robust growth during 2020-2024, achieving a CAGR of 7.9%. This upward trajectory is expected to continue, with the market forecast to grow at a CAGR of 3.8% during 2025-2029. By the end of 2029, the construction sector is projected to expand from its 2024 value of GBP 161.39 billion to approximately GBP 204.12 billion.
This report provides a detailed data-centric analysis of the construction sector in United Kingdom, offering a comprehensive view of market opportunities in the building and infrastructure construction industry at the country level. With over 100+ KPIs covering growth dynamics in building and infrastructure construction, construction cost structure analysis, and analysis by key cities in the country, this databook provides a wealth of data-centric analysis with charts and tables, ensuring stakeholders are fully informed.
It offers a comprehensive analysis of market dynamics in the construction sector through a range of KPIs such as value, volume, and number of units. The building construction covers detailed segmentation over 30+ segments in residential, commercial, industrial, and institutional sectors. The analyst's research methodology is based on industry best practices. Its unbiased analysis leverages a proprietary analytics platform to offer a detailed view of emerging business and investment market opportunities.
Key Insights
United Kingdom Residential Construction Industry
The UK's residential construction industry presents strong investment opportunities, particularly in energy-efficient housing, Build-to-Rent developments, and affordable housing projects. The government's ongoing commitment to increasing housing supply and foreign investment in urban developments indicates long-term growth potential in the sector.
However, rising material costs, planning approval delays, and workforce shortages remain key risks. To navigate these challenges, developers must adopt cost-efficient construction methods, sustainable building practices, and workforce development strategies. Aligning with government incentives and green building regulations will be essential for long-term success in the UK's residential construction market.
United Kingdom Commercial Construction Industry
The UK's commercial construction sector offers strong opportunities in mixed-use developments, green office spaces, and high-end retail projects. The shift towards flexible workspaces and sustainable commercial properties presents growth potential for developers and investors. However, rising development costs, high office vacancy rates, and regulatory challenges remain key risks.
Developers who adapt to changing work and retail trends, integrate sustainable building practices, and leverage government incentives will be best positioned for long-term success. The ability to reimagine underused commercial spaces and invest in smart building technologies will be crucial for maintaining competitiveness in the evolving commercial real estate market.
United Kingdom Institutional Construction Industry
The UK's institutional construction sector presents strong opportunities in healthcare and education infrastructure. Government-backed hospital expansions and school modernization projects are driving growth. The demand for smart, energy-efficient public buildings creates new investment opportunities for developers and contractors.
However, budget constraints, labor shortages, and regulatory requirements remain key challenges. Developers must adapt to stricter sustainability standards, integrate digital technologies, and navigate funding complexities to ensure project success. Public-private partnerships and workforce development initiatives will sustain long-term growth in the UK's institutional construction sector.
United Kingdom Industrial Construction Industry
The UK's industrial construction sector presents strong investment opportunities in logistics hubs, high-tech manufacturing, and renewable energy infrastructure. The government's push for clean energy and automation-driven production creates demand for state-of-the-art industrial facilities.
However, challenges such as rising construction costs, regulatory compliance, and skilled labor shortages must be addressed. Developers and investors who embrace sustainable construction, integrate digital solutions, and align with government incentives will be well-positioned for long-term success. Adapting to changing industrial trends, including automation and green manufacturing, will be crucial for maintaining competitiveness in the UK's evolving industrial landscape.
United Kingdom Infrastructure Construction Industry
The UK's infrastructure construction sector presents strong investment opportunities, particularly in high-speed rail, renewable energy, and digital infrastructure. The government's commitment to net-zero targets and smart city development creates demand for innovative and sustainable infrastructure solutions.
However, inflation, regulatory requirements, and labor shortages must be addressed. Developers who adopt advanced construction technologies, integrate sustainable materials, and leverage government incentives will be best positioned for long-term success. The ability to collaborate on PPP projects, optimize cost management, and align with environmental regulations will ensure resilience and profitability in the UK's evolving infrastructure landscape.
Report Scope: This report provides market size and forecast across 40+ construction segments for ten years from 2020-2029 in United Kingdom.
KPIs covered include the following:
- Market size by value
- Market size by volume of construction
- Number of units
United Kingdom Economic Indicators
United Kingdom Top Cities Construction Data
United Kingdom Residential Building Construction Coverage: 10-year market size forecast in value and volume (area and units) terms by:
- Housing type (multi family, single family)
- Key cities (Tier 1, Tier 2, Tier 3 segmentation)
- Price point/income level (luxury, mid-tier, affordable)
- Construction stage (new construction, re-development maintenance)
United Kingdom Residential Green Building Construction Coverage: 10-year market size forecast in value and volume (area and units) terms by:
- Green building by Housing type (multi family, single family)
- Green building by Key cities (Tier 1, Tier 2, Tier 3 segmentation)
- Green building by Price point/income level (luxury, mid-tier, affordable)
United Kingdom Commercial Building Construction Coverage: 10-year market size forecast in value and volume (area and units) terms by:
- Office (further broken down by Grade A, Grade B, and Grade C)
- Retail (further broken down by Grade A, Grade B, and Grade C)
- Hospitality (further broken down by Grade A, Grade B, and Grade C)
- Restaurant (further broken down by Grade A, Grade B, and Grade C)
- Entertainment
- Sports facility
- Other commercial building construction
- Construction stage (new construction, re-development maintenance)
United Kingdom Commercial Green Building Construction Coverage: 10-year market size forecast in value and volume (area and units) terms by:
- Office green building construction
- Retail green building construction
- Hospitality green building construction
- Restaurant green building construction
- Entertainment green building construction
- Sports facility green building construction
- Other commercial green building construction
United Kingdom Industrial Green Building Construction Coverage: 10-year market size forecast in value and volume (area and units)
- Manufacturing Plants building construction
- Chemical Pharmaceutical building construction
- Metal Material Processing building construction
- Construction stage (new construction, re-development maintenance)
United Kingdom Institutional Building Construction Coverage: 10-year market size forecast in value and volume (area and units) terms by:
- Healthcare construction
- Educational construction
- Other building construction
- Construction stage (new construction, re-development maintenance)
United Kingdom Institutional Green Building Construction Coverage: 10-year market size forecast in value and volume (area and units) terms by:
- Healthcare green building construction
- Educational green building construction
United Kingdom Infrastructure Construction Sectors: 10-year market size forecast in value terms by:
- Marine and inland water infrastructure
- Utility system construction (oil and gas infrastructure, communication infrastructure, power infrastructure, water and sewer infrastructure)
- Transportation infrastructure (highway, street and bridge construction, railway construction, airport construction, and tunnel construction)
- Construction stage (new construction, re-development maintenance)
United Kingdom Green Infrastructure Construction: 10-year market size forecast in value terms
United Kingdom Construction Cost Structure Analysis: 10-year market size forecast in value terms:
- Cost Analysis by Type (Material, Labour, Equipment, Others)
- By Material Work Cost: It provides the cost outlook of material costs by type of materials used in construction (Cement, Steel, Sand, Aggregates, Bricks, Wood, Windows Glazing, Flooring, Plumbing, Electrical, Painting, Other Materials)
- By Labour Cost: It provides the cost outlook of labour costs (RCC Construction Work, Masonry and Plastering Work, Plumbing Work, Water Proofing Work, Carpentry Work, Electrical Work, Tile Fixing Work, CATV Antenna Points, Painting Work, Departmental Labour)
- By Type of Construction (New, Re-Development)
- By Material Cost: It provides the cost outlook of material costs by type of materials used in construction (Concreting Sand, Stone Aggregate, Ordinary Portland Cement, Reinforced Concrete (Grade 30 MPA), Reinforced Concrete (Grade 40 MPA), High Tensile Steel bars, Mild Steel Round Bars, Structural Steelwork, Plywood Formwork (1800*900*12mm), Clay Bricks)
- Type of Labour (Skilled vs. unskilled)
For more information about this report visit https://www.researchandmarkets.com/r/vslpqz
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