5 Volumetric Building System Trends for 2023

Extracted directly from our latest edition of the report, we’ve analysed the top 5 volumetric building system trends for 2023.

Infrastructure projects provided strong growth for the market

The UK Volumetric Buildings market has shown strong year on year growth since 2015, peaking at £1.7bn in 2022.

This is largely driven by high levels of demand for site accommodation in the infrastructure sector – railways, Hinkley Point C and offshore windfarms – and NHS requirements for additional wards, ICUs and vaccination stations due to Covid.

Housing market affected by numerous business collapses

The volumetric modular housing sector was severely impacted by demise of key manufacturers e.g. Legal & General Modular Homes, Ilke Homes and Urban Splash, with a loss of annual capacity of c. 14,000 homes.

Public sector projects are maintaining the market

There were signs of encouraging prospects through to 2027, mainly driven by the key role volumetric modular construction will have in major public sector programmes: Hospital Newbuild Programme, Schools Rebuilding Programme, army’s single living accommodation (SLA) programme and the Defence Estate Optimisation Portfolio.

Rising inflation has slowed market growth

Over the short-medium term, rate of growth may be slowed down by impact of inflation on materials costs and bid prices for public sector works.

Oligopoly forming across the volumetric market

There has been continued consolidation in market supply due to major acquisitions by the market leaders including Portakabin, Algeco, Wernick and Premier Modular, plus the UK arrival of leading US manufacturer Volumetric Building Companies.

The construction landscape in the UK is undergoing a significant transformation, propelled by a surge in innovative building methods. Despite having it’s challenges, the volumetric building system trends are at the forefront of construction innovation.

Discover more about the market in the Volumetric Buildings Market Report. Want to see our full range of Construction reports? Head to our Construction Sectors, Contractors and FM Hub to discover everything we have on offer.