United Kingdom Prefabricated Buildings Industry Market Size

UK Prefabricated Buildings Market Analysis

The United Kingdom Prefabricated Buildings Industry is expected to grow from USD 7.38 billion in 2024 to USD 9.96 billion by 2029, at a CAGR of 6.17% during the forecast period (2024-2029).

The ease of construction, affordability, and fast delivery drive the market. Furthermore, the market is driven by the huge investments coming into the market.

Modular construction is becoming more and more popular in the European region as a result of population growth and housing shortage. Modular construction is becoming increasingly popular as an affordable housing option. More and more modular homes are being built in the UK. The leading construction companies, investors, and the leading developers in the UK are looking for the best prefabrication solutions. The growing investment in the UK modular construction sector is also contributing to the development of the UK prefab industry.

Modular housing is relatively new in the UK compared to countries like Japan and Germany, where it’s more established, and it’s still essentially a loss-making industry. But the good news is that faster construction of high-quality homes could be part of the solution to the UK’s long-term housing problem.

According to estimates from Make UK Modular, the industry will have the capacity to construct 20,000 new modular homes in 2025, which would be one-fifth of the annual shortfall of 100,000 homes. The government has set itself a target of creating 300,00 new homes per year by 2025, with official figures showing that 204,500 new homes were constructed in the 12 months to March 2022.