8 min read

UK Construction Industry Outlook 2025–2026

The UK construction sector is showing strong signs of recovery as we head into 2026. Forecasts predict 3–4% growth across housing, infrastructure, and maintenance. Renovation and refurbishment are outpacing new builds, increasing demand for integrated facilities management, security, and cleaning solutions to ensure efficiency, compliance, and quality on every site.
Written by
Ascent Team
Published on
December 1, 2025

UK Construction Outlook 2026 — Growth, Risk & the Skills Challenge

As we head into 2026, the UK construction sector is riding a wave of opportunity but also facing serious headwinds. Between rising demand, evolving regulations, and a growing skills deficit, the coming year will reward companies that plan strategically.

At Ascent Onsite Group, we believe success comes from combining foresight with agility. Below we break down what’s happening now — and how we’re helping clients stay ahead.

📈 Sector Growth & Market Signals: What Recent Reports Show

  • According to PwC’s 2025 Construction & Housebuilding Outlook, the UK construction sector is set to grow steadily, with predictions of real‑output growth accelerating through 2026–27, boosted by infrastructure, energy, and public investment. PwC
  • Complementing that, official UK data from the Summer 2025 government statistics show repair, maintenance and improvement (RM&I) work is trending upward  a signal that renovation and maintenance projects may outperform new builds in the coming years. GOV.UK+1
  • This shift, from new builds to refurbishment and maintenance, increases demand for services beyond construction: facilities management (FM), site security, cleaning, maintenance, and compliance support.

What this means for clients

  • Early planning unlocks cost stability before tender price inflation.
  • Demand for integrated service providers (FM + security + cleaning + maintenance) will rise sharply.
  • Flexible, multi‑service solutions become a competitive advantage — especially for retrofit, refurbishment and ongoing maintenance contracts.

🚧 Workforce & Skills Crisis: The Gen Z Gap and Why It’s Dangerous

While demand and opportunity grow, the labour supply side tells a different story.

  • The general shortage of trades and skilled workers in the UK construction sector has been widely reported. For example, a recent industry summary notes that demand has surged even as apprentice numbers and completions remain insufficient — especially in core trades like carpentry, plumbing, and maintenance. designandbuilduk.net+1
  • This shortfall is compounded by a growing generational gap: younger entrants (e.g. Gen Z) often lack required hands‑on skills or experience — leaving many high‑potential candidates unable to meet job prerequisites.
  • The result: many firms face chronic understaffing; others patch the gap with subcontractors or increased overtime — putting pressure on quality, safety and compliance.

At Ascent, we believe the bottleneck isn’t a lack of willing workers — it’s a lack of systems to convert willingness into competence.

🔧 Ascent’s Strategy: Building Strength Through People, Not Just Projects

We don’t just respond to shortages, we design around them. Our approach to workforce and site support focuses on:

  • Skill‑ready onboarding & training: Bringing recruits up to site‑ready standard quickly
  • Cross‑service staffing flexibility: FM, security, cleaning and maintenance teams that can adapt as needs shift
  • Scalable support for busy periods: Covering project peaks, maintenance surges or unexpected delays
  • Retention and compliance emphasis: Reducing burnout, ensuring safety, keeping standards high

In short, we don’t just meet demands when they arise. We anticipate them, and build capacity ahead of time.

🔮 2026 Trends to Watch And How to Prepare Now

Rise in renovation & maintenance work

  • Projects will increasingly demand FM, cleaning, and flexible security rather than new-build contractors.

Higher regulation, compliance & safety standards

  • Documentation-heavy jobs require providers who can guarantee security, sanitation, record-keeping, and reliability.

Labour & materials cost inflation

  • Rising labour costs and material scarcity make fixed-cost service providers essential for budget predictability.

Demand for one-stop site solutions (FM + security + cleaning)

  • Bundled services by a competent operator win competitive tenders and deliver higher quality.

Increased site downtime risk from labour shortages

  • Flexible staffing and rapid deployment solutions are critical to mitigate operational risk.

💬 Message from Our Managing Director: Jimpatrick Munupe

*“2026 will be a defining year for UK construction. What separates success from struggle won’t be opportunity, it will be preparation. At Ascent Onsite Group, we don’t just supply services. We build solutions.

Whether it’s maintenance, renovation, security, or compliance support, we’re focused on delivering reliability, quality, and scalability. If you need a partner equipped for change, we’re ready. Let’s make 2026 the year your projects run smoother, safer, and smarter.”*

— Jimpatrick Munupe, Managing Director, Ascent Onsite Group

✅ What Should You Do Next?

If you’re planning projects in 2026, now is the time to:

  • Partner with experienced operators who understand labour volatility and compliance pressures.
  • Plan for renovation & maintenance demand spikes retrofit and refurbishment budgets are likely to dominate.
  • Bundle FM, security, cleaning and maintenance to reduce coordination risk and costs.
  • Lock in staffing and service contracts with flexible providers.

At Ascent Onsite Group, that’s exactly what we offer. Reach out today, let’s shape a stronger, safer, and more resilient 2026 together.

📚 Further Reading & References

  • PwC Construction & Housebuilding Outlook 2025 — UK real‑output growth forecast. PwC
  • UK Government Construction Output Forecasts — Experian / ONS data for 2025–2027. GOV.UK+1
  • Analysis of Apprenticeship shortfalls and skills shortages in UK construction. designandbuilduk

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