Gradual rise, moderated outlook

Our latest forecast reflects a slower outlook for 2026, influenced by persistently high consumer inflation and borrowing costs. We still expect positive movement, but with a more gradual increase.

Indeed, BCIS currently forecasts construction costs and tender prices will rise by around 3.5% per year to 2030. We broadly agree with this.

While regional differences exist, we’re seeing bigger variation between sectors and trades than between locations.

Taken together, these points show now, more than ever, projects need a clear, value-driven approach. Understanding where costs are moving, and why, is essential to make smart, informed decisions.