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Infrastructure and energy sectors will front construction boom

By: Kelly Bellerson
Press Release

Driven by energy sector demands and large infrastructure projects, the UK is on track to becoming one of the most rapidly growing countries in construction.

The US, China, and India will lead building output globally, accounting for over half of building output by 2037.

Alongside this, global construction is predicted to grow by around £3.5 trillion in the next 15 years meaning that in 2037 it will reach the £11.5 trillion mark.


Those in the construction industry are anticipating a steep incline in demand for mega infrastructure projects over the next few years.

Supported by energy sector demands and the Government’s nationwide push to reach green goals, these are the two front runners heading up the forecasted construction boom in the UK.

A report issued by Oxford Economics and financial services firm Aon states that “the transition of Britain’s power networks to renewables by 2035 and greater energy security are key drivers”.

According to Head of Construction and Infrastructure at Aon, James MacNeal, the adaptation of existing infrastructure to combat climate change will “be a massive opportunity for the global construction and engineering industry.”

However, the report explains that by 2037 materials for construction could cost 15% more than they did pre pandemic.

Opportunities generated by the energy sector

The expansion of renewable energy sources such as wind, solar, and tidal power, has led to a surge in employment opportunities.

These green jobs not only provide employment but also contribute to the country’s transition towards a low-carbon economy.

Eco infrastructure projects bring electricity and clean energy sources to areas that previously lacked adequate access, which in turn enhances living standards, supports local businesses, and promotes economic development in areas that may have been underserved in the past.

Furthermore, the UK’s commitment to renewable energy and sustainable infrastructure developments have the power to attract green investment from around the world.

Investors are increasingly interested in projects that promote clean energy generation, energy efficiency, and environmental sustainability.

The country’s focus on transitioning to a low-carbon economy positions it as a favourable destination for green investments, thereby boosting economic growth and creating new opportunities.

Infrastructure demand boosting UK worth

A well-developed infrastructure network enhances productivity and efficiency across all sectors of the economy; and investments in projects such as transport networks, water systems, and digital connectivity, also generate substantial employment opportunities.

Not only do they provide individuals with stable employment, they also stimulate economic growth by increasing household income and consumer spending.

Moreover, highly advanced infrastructure, such as efficient transportation systems, reduce the cost and time associated with the movement of goods and people, enabling businesses to operate more smoothly and cost-effectively.

In the energy sector, robust and diverse sustainable infrastructures ensure the reliable supply of electricity and fuel to businesses and households.

The Government are actively encouraging investments in renewable energy infrastructure to help reduce dependency on fossil fuels, ultimately mitigating the risks associated with price fluctuations and supply disruptions.

A well-maintained and modern infrastructure network, coupled with a reliable energy supply, makes the UK an attractive destination for foreign direct investment (FDI).

It is well known that efficient infrastructure and energy projects contribute to regional development by bridging geographical gaps and fostering connectivity between different parts of the country.

This is why investments in transportation infrastructure, such as road and rail networks, are vital to improving the accessibility to remote areas, opening up opportunities for businesses and residents alike.

This regional connectivity facilitates the growth of industries, promotes tourism, and encourages the dispersal of economic activities beyond major cities.

Construction Boom

In recent years, homeowners and tenants alike have begun to prioritise greener practises and the benefits that come from having a greener home.

Given the current economic climate and condition of the housing market, property owners will continue to look for more energy efficient upgrades that will ultimately lower the running costs of their buildings whilst also helping the climate change effort.

Additionally, it’s no secret that the Government are fiercely advocating for greener energy output, reliance, and independence; and whilst this remains a top priority for the UK, we can expect to see demand for energy efficiency works and infrastructure increase.

With ever changing targets, construction work will consistently be needed to keep up with the Government’s green expectations, as well as property owners’.

The infrastructure and energy sectors serve as crucial pillars in driving economic growth and prosperity in the UK. From retrofitting to new builds, a rise in property demand will thrust forward the “construction boom”.

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