UK Facility Management Market Trends

Statistics for the 2023 & 2024 UK Facility Management market trends, created by Mordor Intelligence™ Industry Reports. UK Facility Management trend report includes a market forecast to 2029 and historical overview. Get a sample of this industry trends analysis as a free report PDF download.

Market Trends of UK Facility Management Industry

Single FM Service is Expected to Hold Major Share

  • Working with a single facility management service provider primarily delegates task management to separate entities. It also entails having a different service provider for each service the organization requires, such as cleaning, reception, and vending machines. Using the services of specialized service providers includes several advantages.
  • It allows customers to concentrate on their core business, while single-service providers provide adequate customer services and help operational efficiency. Experts handling task management will result in much higher efficiency and service quality. It will also free company employees to focus on the most critical business areas while saving resources for non-core activities.
  • The outsourced FM is successfully used in various sectors, including the public sector, retail, professional services, healthcare, technology, logistics, manufacturing, and education. The areas that FM services look after vary widely, primarily depending on its type, the company size, and the sector in which it operates. Some organizations will only require a single service solution provider. It is driving the demand for single FM in the country.
  • Further, the Q4 2022 RICS UK Facilities Management Survey suggested that approximately 10% of the respondents believed that the single FM sector would witness the highest growth in the next twelve months. The response rate increased to 10% of the respondents that believed single FM to witness the highest growth. However, substantial respondents in the survey believed that other services, such as bundled FM and in-house services, are poised to see the highest growth rate in the next 12 months.
  • When businesses choose a single service provider, they outsource their day-to-day operations to a specialist provider. They can be assured of superior service quality and efficiency by hiring the help of specialists. Using several service providers is a time-consuming activity that necessitates the management of multiple vendors as well as the associated hazards.
  • Furthermore, the scale of the developing and developed economies makes working with a single supplier and servicer impossible. Unfortunately, many businesses still operate with a single mindset, relying on a single property management service provider for all their needs.
United Kingdom Facility Management Market: Gross Value Added (GVA) of the Construction Industry, In GBP Million, United Kingdom, Q1 2021 - Q1 2022

Commercial End User Sector is Expected to Hold a Significant Market Share

  • Office buildings used by providers of business services, including manufacturers' corporate offices, IT and communication companies, and other service providers, are mainly referred to as the commercial end-user sector. Due to this, the overall supply of commercial building decoration, essential interior fittings, and management grew in importance, pushing the region's commercial sector market.
  • In October 2022, SPIE UK, the independent European provider of multi-technical services in communications and energy, declared a new contract with Altrad Babcock, a professional in the delivery of aftermarket, engineering, and upgrade services to the entire energy industry. The agreement mainly supplies facilities management services to 3 buildings in Renfrew, Renfrewshire. As part of the contract, SPIE UK would be significantly responsible for completing HVAC and mechanical works, reactive services, preventative and planned maintenance, and lifecycle projects for three separate buildings, including a large manufacturing facility.
  • Moreover, the overall spread of COVID-19 forced the mass closure of workspaces and the implementation of work-from-home policies in several industries, especially in the corporate buildings of the IT as well as telecommunication sector, which negatively impacted the market.
  • Additionally, the market offers several opportunities for vendors to implement and execute various IoT-based facility management and enhance the development of smart buildings within the United Kingdom. It is due to the rising interest in establishing smart buildings and IoT technologies. Also, the surge in the business acumen among industry providers and the diversification of the economy from various industries is anticipated to maximize the demand for facility management services within the region.
  • In January 2023, Fisco UK, the Facilities management company, partnered with (MWS) managed workplace services provider Apogee Corporation to expand its overall IT offering and deliver a more automated and integrated solutions portfolio to its client base. Through the partnership, the firm boosted machinery uptime for its clients by around 28% compared to its previous MWS supplier. Hence, these significant developments are poised to drive the demand for FM services in the commercial space in the United Kingdom.
UK Facility Management Market: Value of the Commercial Property Market, in USD Billion, the United Kingdom, 2018 to 2021

UK Facility Management Market Size & Share Analysis - Growth Trends & Forecasts (2024 - 2029)