British construction sector predicted strong recovery in 2025

The British construction industry is heading towards a strong recovery in 2025, according to a new analysis from industry analyst Glenigan. The forecast indicates an 8 percent increase in new construction starts during 2025 compared to the current year, followed by an additional 10 percent increase during 2026.

The analysis, which excludes mega-projects worth over £100 million to provide a more accurate picture of the underlying market, shows that British public investments and infrastructure projects will drive growth.

“The British construction sector is heading towards growth from 2025. The recent adjustments in British fiscal policy, which enable higher levels of capital investment, will unlock significant public and infrastructure projects,” says Allan Wilen, Economics Director at Glenigan.

Built on concrete investments

Michael Cameron, senior analyst at political analysis firm DeHavilland, points to several concrete investments supporting the forecast. Among other things, the British government has announced £6.7 billion for school capital and £1.4 billion for school renovation programs. The healthcare sector receives an extra billion pounds for hospital repairs and upgrades.

According to Glenigan, civil engineering works are expected to grow steadily during the forecast period, driven by water and energy projects. Stronger economic growth and expected interest rate cuts are also predicted to benefit private housing production in Britain over the next two years.

The only sectors expected to show negative growth are community and leisure facilities during 2025 and the education sector during 2026.

The translation was written by an AI system, though the original text was authored by a human. Read the original article here