WHY IMPORTANT TO WISCONSIN: Investments in infrastructure and other types of building projects are moving ahead, offering opportunities for Wisconsin companies.
The UK is one of the world’s largest construction markets, with projects valued at an estimated $386 billion in 2023 and about 2.8 million employees, according to the U.S. International Trade Administration.
Major construction projects in 2023 included the Southern Railway line, restoration of the Houses of Parliament, and the Sofia 1.4 gigawatt offshore wind farm.
Home repair, maintenance, and improvement projects are expected to post a decline for 2023 because of higher-than-expected inflation and rising interest rates—but growth is on the horizon for 2024 and beyond. The industry anticipates an average annual growth rate of more than 2% between 2024 and 2027 with investments in transportation, renewable energy, housing, industrial projects, and telecommunications infrastructure.
The strongest construction subsector in the UK is infrastructure. The government has committed to spending $127.4 billion to support economic infrastructure through 2025. About half of the infrastructure built in the UK is publicly funded. Road, rail, port, and airport projects are on tap for 2024.
In other construction sectors, new projects are likely to include:
• Commercial: Office, data center, and stadium projects
• Industrial: Auto manufacturing—to comply with government goals to increase the use of electric vehicles
• Energy and utilities: Renewable energy, water, sewage, and telecommunication infrastructure improvements
• Institutional: Education and health care research and construction
• Residential: Affordable housing
U.S. architectural and engineering firms and U.S.-made building products have a good reputation in the UK for quality and reliability, so Wisconsin companies in this sector could have opportunities to provide products and services. Energy and water saving systems and air quality improvement products may be particularly welcome.
