The construction industry in the UK has had a tough time in the last few years. Brexit, covid, and issues with materials and labour supplies have made it very challenging. The situation has also made it harder for architects and other experts. But, what will the next few years bring? A new analysis from BCIS could have useful insights. As one of the best option for an architect in London, we want to take a look at their predictions.

Current levels

The first thing the BCIS data shows is that total construction output only recently got back to the levels before the pandemic. However, this looks at all kinds of operations in the industry. New work output is yet to recover and return to where it was in 2019.

The main growth area in 2022 has actually been in the repair and maintenance sector. There is a huge amount of demand here. One of the driving factors for this is that more people are looking to make properties more energy efficient. There is also an urgent need to upgrade many older properties to comply with changes in fire safety regulations.

Estimations for new construction

Sadly the BCIS is predicting that new construction output could remain below pre-pandemic levels until 2027. The situation with high inflation and little to no economic growth does not inspire much confidence in projects. As a result, fewer people may invest in the coming years.

Commercial construction in particular could have a very difficult period ahead. It has taken the biggest hit in new output in the last two years. This is largely because of a fundamental change in what people need from retail and office space. As a result, fewer new builds are coming.

The BCIS is also predicting that the private housing sector will slow over the next few years. However, they expect output will rebound after that even if it remains behind 2019 levels.

Materials

One of the main things that have hit new construction so hard is the cost of building materials. The increases have been very high, driven by shortages and issues because of Brexit and the war in Ukraine. Luckily, the BCIS is expecting prices to ease on many of these products in the future.

High energy prices are also causing increases in the price of things like concrete and steel because manufacturing requires a lot of power. Unfortunately these prices are unlikely to come back down until the energy crisis has a resolution.

A silver lining

There is one good piece of news here though. The BCIS is reporting that the current market conditions are not as severe as the ones during the 2008 recession. That could mean an easier road to recovery.

Speak to a top architect in London

Coffey Architects appreciates how challenging conditions are for construction at the moment. However, we can support clients who have projects in mind. We could even help you to enhance them and save by looking at alternative materials and approaches. There could be some really great opportunities if you get creative with designs.

So, why not talk to us and get ideas from a leading architect in London? You can come to us to design your dream home, a public building, a commercial space, or almost anything else. We even have experience with libraries and properties with very specific needs.