February 14, 2007—Market and Business Development (MBD) analysts have released new research on the development of the UK facilities management market. MBD noted that the UK potential market for FM includes services carried out in-house, contracted-out service, and total facilities management (TFM).
MBD says that the FM market has demonstrated yearly growth in nominal as well as in real terms since 2002. In 2006 the market showed an increase of 5% to £110.9 billion, representing overall nominal growth of 19% compared with the beginning of the review period.
During recent years the FM market has been stimulated in particular by increased levels of PPP and PFI projects, the government’s “Best Value” initiative, and the Building Schools for the Future program, notes MBD.
MBD’s market forecast for 2007-2011 is:
- Repair and maintenance construction output in Great Britain is expected to increase by between 1% and 2% in each of the five years;
- Output is expected to increase by a cumulative 8% in real terms to a level of £49, 688 million (at 2006 prices) during the latter year;
- The proportional importance of repair and maintenance output is expected to decline to 42% of total construction work by 2011 compared with a share of 45% anticipated during 2006; and
- Increased investment in the sector is anticipated to reflect projected funding in public housing repair and maintenance sector and strong growth in investment in the public non-residential repair and maintenance sector.
For the complete “UK Facilities Management Market Research Report”, visit MBD.
