Latest News Fri, May 9, 2025 8:15 AM
The first quarter of 2025 has seen notable activity across the industrial construction projects.
According to Glenigan data for Q1 2025, industrial project starts have risen 66% year-on-year, providing a bright spot in an otherwise challenging market.
Detailed planning approvals have also climbed by 15% compared to 2024, suggesting a strengthening pipeline for future projects. However, it’s not all positive news, as main contract awards fell 45% compared to the previous year, indicating a delay in converting planned projects into active sites.
A significant portion of current and upcoming industrial construction projects is being driven by the UK’s focus on advanced manufacturing. Backed by £4.5 billion in public funding announced in both 2023 and again in March 2025, the government has prioritised four strategic sectors: automotive, aerospace, life sciences, and green industries.
The automotive sector has seen substantial investment as part of the shift toward electrification and sustainable vehicle technologies:
The aerospace sector continues to attract major investment, focusing heavily on new technologies:
The life sciences sector is also gaining ground.
Accord is planning a £50 million manufacturing plant in the UK, currently at the pre-planning stage (Glenigan ID: 25184906).
Significant projects in the green industries sector are helping drive the next phase of industrial construction:
Despite challenges in converting contract awards into starts, the overall outlook for industrial construction projects remains positive. Strong government support, strategic sector investments, and a growing pipeline of planning approvals are set to keep the sector busy in the years ahead.
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