Foreword
Building through uncertainty
Our latest UK construction market outlook explores where the sector stands today and where it's heading as we approach 2026.
The picture is mixed. There are signs of progress, but also growing concerns that construction is falling short of its potential to drive economic growth and deliver essential infrastructure.
On paper, the support is there. The government reaffirmed its commitment to £120 billion in infrastructure investment during the recent Budget. Flagship programmes like the New Hospital Programme are moving ahead. Nuclear is back in focus. Demand for quality homes remains high.
But momentum is fragile and the detail is limited.
Uncertainty is slowing things down
Volatile conditions are making it harder to plan, commit, and deliver.
In our recent global research with more than 1,000 senior construction and infrastructure leaders, UK respondents said that uncertainty around delivery had reduced the value of their project pipelines by 12.3% in the past year. That’s the equivalent of £958 million per organisation.¹
The same group reported that, over the past 12 months, 26% of their construction projects had been delayed, 25% de-scoped, and 21% were cancelled completely.
Private finance has a role to play in unblocking delivery. But we still lack a clear framework for how the industry can work effectively with government.
The road ahead is still bumpy
We hoped 2025 would be a turning point. But progress is slow. Inflation is sticky. Interest rates remain high. Growth is flat. Productivity is down and shows no signs of recovery. And investment in skills and innovation remains under strain.
Even if conditions improve, a sudden increase in activity could stretch an already tight market. Capacity is limited, and cost and programme risks could quickly return.
But there is a way through
Projects can still succeed, but they need a clear strategy. Strong cost control. Smart procurement. Practical, disciplined risk management. These are essential foundations for progress.
The 2025 Budget may not have delivered the breakthrough many had hoped for. But there is still a path forward.
With clarity, collaboration and commercial discipline, construction can drive the UK’s next phase of growth.
Nick Gray
Chief Operating Officer, UK and Europe
Currie & Brown
1 Findings taken from research undertaken among 100UK-based decision-makers, responsible for construction and infrastructure projects, with average project pipelines of £7.8 billion.
"Strong cost control. Smart procurement. Practical, disciplined risk management. These are essential foundations for progress."
Nick Gray
Chief Operating Officer, UK and Europe
Currie & Brown