By Marta Macedo Wednesday, 2nd November 2022 0 Comments Residential Construction Industry Forecast to Hit £93.6 Billion By 2025 The latest market analysis by Unlatch, a property sales collaborative platform that is looking to reinvent property sales, estimates that the UK’s residential construction industry could increase in value by almost 20% by 2025. Despite the fact that the UK residential construction industry’s current performance is yet to fully return to pre-pandemic strength, a new study by Unlatch suggests that a big boom is just around the corner. Today, there are some 44,166 businesses operating across the UK’s residential construction industry, generating a total revenue to the tune of £78.9 billion, with each business contributing an estimated average revenue of £1.8 million. As it stands, current market performance remains down when compared to pre-pandemic levels. The number of businesses is down 7.1% while the total market value is down 11.0%, resulting in the average revenue per business also falling by 4.3%. However, the annual figures suggest that while the residential construction industry is yet to fully return to pre-pandemic productivity levels, it’s certainly heading in the right direction. While the number of total businesses is still some 6.0% fewer than in 2021, total market value and the resulting average revenue per business are both up 18.9% and 26.5% respectively. Not only are these promising signs for the sector as it stands, but this growth is forecast to continue over the coming years. Lee Martin, Head of UK for Unlatch, comments: “Like many sectors of the property market, the residential construction industry certainly faced a number of challenges as a result of the pandemic. While we’re yet to see a full return to form, there are some very positive signs of growth on an annual basis. This growth is expected to continue through to 2025 and we predict that the biggest worry many in the sector will be facing is an increased level of competition, rather than a dent to their profit margins.” Unlatch estimates that the number of active industry businesses within the residential construction industry could increase by 30% by 2025, reaching a total of 57,401. This increase is also expected to drive total market value to £93.6 billion, marking an increase of 18.7%. The only downside to this sector’s expansion would be that, with more businesses operating within it, the average revenue per business is expected to decline by 8.7%. Have you noticed an increase in residential developments as of late? Get in touch in the comments below and let us know your thoughts. Post navigation Previous Post Hillhead Returns In June 2024 Next Post Hilti’s Nuron Supports Red Bull In Swiss Dam Scaling Challenge Leave a Comment Cancel replyYou must be logged in to post a comment.