Six stats that define the construction industry in 2025

Since 2015, the total cost of delivering construction projects has risen by 44.4% according to ONS data. This increase is driven by inflation, labour shortages, supply chain disruption and the planning system. For contractors, this means tighter margins and greater pressure to manage risk. For clients, it highlights why projects regularly incur cost overruns. The industry is working harder than ever just to stand still.

To meet the Government’s pledge of building 1.5 million homes this parliament, annual housing completions would need to rise by 46%. That means 300,000 homes a year – a level last achieved in 1969. Despite political promises, the gap between aspiration and delivery remains wide. Without systemic change in planning, skills, and funding, the housing crisis will persist.

Core building materials such as bricks, sand and gravel have increased in price by 53% since 2015 according to data from the Department for Business and Trade. These rises are not just numbers on a page; they directly impact housing affordability and the ability to meet government targets. Political uncertainty, Brexit-related trade friction, and the aftershocks of Covid have all contributed. Every home built today carries the weight of these costs, and that has long-term implications for both developers and homeowners.

In 2024, 4,102 construction companies went insolvent – more than in any other industry. That represents 17% of all business insolvencies in the UK. Volatile pipelines, inflation, and unfair payment practices continue to destabilise businesses large and small.

For an industry expected to underpin growth and infrastructure delivery, this fragility is a major concern. It underscores the need to support smaller businesses and develop more resilient business models.

The CITB estimates that the industry needs more than 250,000 new workers over the next five years, covering engineers, bricklayers, electricians and joiners to name a few. Yet, while demand is growing, the workforce is shrinking. 210,000 left the industry last year, while only 200,000 joined. With vacancies averaging 38,000 a month, the shortage is being felt on every project.

This is not just a numbers game; it’s about equipping people with the right skills to deliver safer, greener, better buildings.

Finally, 72 is the number of people who died in the Grenfell Tower tragedy. Eight years on, its impact is still shaping regulation, safety culture and public trust. The final report published this year has led to government commitments to act, yet thousands of buildings still await remediation. Grenfell is the industry’s most painful reminder of what happens when safety and accountability fail. It must remain a turning point, not just a tragedy.

Taken together, these figures show an industry under intense strain but also standing at a crossroads. Costs are rising, businesses are closing, and skills are in short supply. Yet there is also a clear mandate to build safer homes, faster, and with better outcomes for society.

To navigate this, data matters. Evidence-based insights drive better communication, stronger advocacy, and ultimately, change.

At LMC, we help organisations in the built environment turn data into powerful stories that resonate with the audiences who matter most.

If you want to use insight like this to shape the debate, raise your profile and strengthen your impact, talk to us about our Data Driven PR services.

Contact us to find out more.