This website uses cookies primarily for visitor analytics. Certain pages will ask you to fill in contact details to receive additional information. On these pages you have the option of having the site log your details for future visits. Indicating you want the site to remember your details will place a cookie on your device. To view our full cookie policy, please click here. You can also view it at any time by going to our Contact Us page.

Double digit FM growth predicted for the next four years

11 May 2022

The latest study on the UK FM industry by MTW Research predicts robust growth for the sector for the next four years.

With the industry continuing to recover from the effects of the Coronavirus pandemic, this year will see a £3bn boost to sales revenue, says the report.

Additionally included in the 100-page report is consideration of near term labour, profitability and operational challenges, along with the impact of Covid-19, which is expected to amount to £11bn in lost revenue by 2026.

By the end of this year, total FM revenues are expected to reach 98% of the pre-Covid-19 value.

The impacts of the virus are compared with the overall positive growth within the industry, which are predicted to deliver double-digit expansion up to 2026 and offset the other negative influences.

One of the most positive developments will be the continuing rise of proptech, says the report, providing growth through disruptive technology and creating more sales opportunities.

MTW director Mark Waddy said technology trends and innovation "are enabling FM providers to develop an 'empathic response' to service provision, boosting added value by more closely integrating with the client and anticipating their needs".

The report further states that the growth in the public sector FM market seen over the last two years, that combined with reduced demand within the commercial market, is now reversing.

Further analysis shows that public sector growth will continue, however, following higher spending plans published in March this year.

Additional considerations within the industry include more selective tender submissions and enhanced margin protection, with more focus on value of service becoming increasingly evident throughout the FM industry.

Merger and acquisition (M&A) activity is expected to increase by 35% this year compared to 2019 levels.

The MTW report can be purchased for £595 and more information is available on the company's website.

Print this page | E-mail this page


View more articles
Article image

How to attract the best talent

Three organisations in the FM sector shared their recruitment and retention strategies with PFM...
Article image

Star interview: Valerie Dale, Group Chief People Officer, and Robe Legge, Group CEO, OCS

The two senior executives told PFM about their people strategy for newly-formed FM 'super-company' OCS......
Article image

Alex Kristall appointed MD for Good Eating Company

Sodexo Corporate Services has announced from 1 June Alex Kristall will become Managing Director for the Good Eatin...
Article image

Center Parcs goes cashless with Systopia

Systopia, which deals with cashless payment systems, has secured a contract with UK Short Break Operator Center Parcs to provide cashless payment systems i...

Benchmarking maintenance

BSRIA has just published this year's operation and maintenance benchmarking report as a guide for building operators to evaluate their performance against ...
Article image

Why the Law Says You Need a Nappy Bin Disposal Service

At home, parents are used to disposing of their babies’ used nappies the same way they do any other domestic waste - bagging it up and sticking it in the r...