Waiting and hoping

The Spring 2025 edition of the Arcadis UK Market View report showcases recent developments in the UK’s construction industry, presenting positive trends and highlighting challenges that delay projects in some sectors. It includes forecasts on factors such as labor and materials, the drivers and effects of inflation and the emergence of a four-tier market for contractor-delivered construction.

Spring 2025 Construction Market Forecast

Arcadis’ latest Market View report on the UK construction industry introduces new, separate forecasts for civil infrastructure and network infrastructure. Civil infrastructure encompasses roads, rail, aviation and flood protection, while network infrastructure entails energy, water and communication.

For civil infrastructure, it is anticipated that inflation will be steady in 2026 and 2027. On the other hand, for network infrastructure, scarcity costs could be an inflation risk from 2026. Building sectors are still facing headwinds, with a recovery in workload unlikely before Q4 2025.