As 2025 draws to an end and thoughts turn to the year ahead, in this series of articles we’ve sourced the viewpoint of various leading industry figures. This time we’ve sought the input of individuals from Chase New Homes, Haddonstone, Simon Acres Group, Pensdown, and Contactum, to gather their opinions on how the last 12 months have been for construction and to get their predictions for 2026.
Tony Biddiscombe, Land Director at Chase New Homes:
“Throughout 2025, the government has introduced new housing delivery targets and encouraged developers to raise performance, with potential consequences in cases of under delivery. However, from a planning approval and delivery perspective, we have not yet seen a corresponding increase in support or momentum from local authorities to help meet these ambitions. Instead, the process has often been slower, with communication between planning authorities and supporting departments proving challenging. The combined effect is that, like many property developers, we are finding it difficult to move schemes forward at the pace we would like. In some instances, projects have been delayed, largely due to factors outside of our control.”
Nick Lantsbery, Managing Director at Haddonstone:
“The past few years have presented challenges across the construction industry, but Haddonstone has continued to deliver strong results, which is a testament to our loyal client base and the quality of our products. After a quieter winter in 2024, we experienced a very busy summer in 2025, which helped us regain momentum. Since then, whilst the garden and landscape markets remain seasonal, with the lion’s share of orders being placed in spring and summer, our architectural business has remained consistently busy.
“2026 will be a year of celebration and reflection. We’ll be marking 55 years of craftsmanship, innovation, and partnership with our clients. But more importantly, it’s a year to look forward – to invest in new ideas, new talent, and new collaborations.
“I’m incredibly proud to be leading Haddonstone into our 55th year. It’s a privilege to guide such a talented team, uphold our heritage of quality craftsmanship, and continue building on the trust we’ve earned with our clients over more than five decades. I’m excited to see how we can continue to build and evolve our business in the years to come.”
Phil Wiltshire, Operations Director – Pensdown:
“At Pensdown, we expect 2026 to be a defining year for the UK electrical contracting sector. While 2025 was marked by cautious recovery, with projects slowed by cost pressures, material shortages and uneven demand, next year looks set to deliver stronger activity across both public and private sectors.
“Industry forecasts suggest construction output growth will increase in 2026 after the more modest expansion seen in 2025. This increased activity is likely to be driven by a ramp-up in infrastructure projects, renewable energy installations and commercial refurbishments, all of which demand high-specification electrical services.
“In 2025, many private-sector projects were deferred or scaled back due to budget uncertainty and higher interest rates, limiting the scope for major electrical installations. In contrast, 2026 is expected to benefit from increased public and semi-public investment, providing a steady flow of work for contractors like Pensdown.
“We anticipate growing demand for complex electrical systems, including EV charging infrastructure, energy-efficient building services, smart building technologies and large-scale cabling projects.
“Pensdown is well-positioned to respond to this demand and expect to deliver more expert, end-to-end electrical solutions, from design through to installation and maintenance. In short, 2026 should see our services become increasingly central to construction and infrastructure projects, reflecting a move from reactive contracting to proactive, technically sophisticated delivery that meets the sector’s evolving electrical requirements.”
Simon Acres, Managing Director of Simon Acres Group Limited:
“With the government’s plan to deliver 1.5m homes over this Parliament, there is certainly demand for new housing, however one of the main concerns for the construction sector is the need for additional skilled tradespeople. The Construction Skills Network report highlights the need for an extra 251,500 extra construction workers by 2028 to meet demand in the UK.
“We are hopeful that 2026 will mark a genuine turning point in addressing the skills shortage. We have recently enhanced our Building & Construction Recruitment Limited (BACRL) brand. BACRL is a subsidiary of Simon Acres Group and supports organisations in the construction industry with specific staffing needs.
“A key development has been the closer involvement of Andy Gamble, who brings extensive experience in the construction sector. Alongside his ongoing consultancy work, Andy will extend his expertise to offering construction material distribution advice, advisory board support and one to one coaching to include both personal and business mentoring for BACRL clients.
“BACRL is also launching a new installer introduction service, which aims to bridge the gap between skilled individuals seeking opportunities and construction businesses looking to expand their installation capacity.
“We also highly advocate apprenticeships and encourage companies to consider apprentices when expanding their workforce. The Fitted Interiors Installer (level 2) apprenticeship, for example, is a government-approved training programme that teaches the skills and knowledge needed to safely install various types of fitted furniture, such as kitchens, bedrooms, and bathrooms.
“By improving access to talent and supporting skills development, we believe 2026 can be a year of renewed capability and resilience for the construction industry.”
Jason Pritchard MIET, National Specification Manager at Contactum:
“The UK high-rise residential sector in 2025 is characterised by cautious progress and lingering structural pressures that continue to dictate the pace of development. Regulatory updates, alongside government and market uncertainty, have undoubtedly cooled activity and slowed new project starts. While the broader housing market has softened, demand for urban, high-density living has held relatively steady, driven by ongoing regeneration initiatives and the sustained draw of major cities. Nevertheless, high-rise commencements remain slower than many expected. Elevated financing costs, increasingly complex planning requirements, and rising build costs, particularly around façade systems and regulatory compliance, have resulted in numerous schemes being placed on hold for longer than developers would like.
“Consequently, 2025 has evolved into a year of consolidation across the sector. Developers are revisiting viability assessments, re-pricing proposals, and navigating a landscape of tightening safety and environmental standards. Updated Building Regulations continue to shape design choices and procurement strategies, introducing additional time and cost but ultimately strengthening long-term confidence in the final product. The build-to-rent (BTR) market remains the most resilient segment, with institutional investors still viewing high-rise developments as dependable long-term assets, even with slimmer returns.
“Looking ahead to 2026, there is space for measured optimism. Should interest rates begin to ease, funding conditions are expected to improve, allowing many paused schemes to restart. Major cities such as London, Manchester, and Birmingham are anticipated to lead this recovery, with BTR and mixed-use towers at the forefront. Persistent challenges, planning delays, labour shortages in specialist trades, and ongoing cost pressures will prevent a dramatic rebound, but momentum should gradually return.
“Overall, 2025 represents a reset rather than a decline. With improving financial conditions, 2026 could bring a steady re-acceleration of high-rise residential delivery, supported by consultancies already reporting an uplift in pipeline activity expected from mid-2026 onwards.”