Each year our Trends & Opportunities Report aims to capture exactly that – the trends, issues, challenges and opportunities shaping UK facilities management, at that point in time and for the near- to mid-term future.  Drawing on our own reporting, knowledge and research, coupled with contributed articles from carefully selected experts, each report captures what’s happening and why in this always-interesting industry, as well as what it means for you, whether you are an FM provider, an in-house FM, an FM-adjacent professional, a student or a researcher.  Many of the current report highlights are set out in this executive summary.  The full content is reserved for full licence holders, as are several of our other unique content features – including the i-FM Contracts Database and the i-FM Top 50 benchmark listing, as well as our full archive of reporting, features, comment and research going back 25 years.  No other FM publication can offer a comparable service.  

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UK FM – Market Overview

FM is in some significant ways unique.  It is both an industry and a management discipline, and sits at – or very near - the heart many of the big issues of the day.  Changes in how and where people work, changes in technology and how they affect people and work, cross-over issues of business and people including productivity and wellbeing, the big concerns of sustainability and social value.  Few roles offer such scope to learn, to understand, to shape, to support, to deliver benefit and to contribute to success.

In this broad context, the goal of i-FM’s annual Trends & Opportunities Report is to focus on the business of FM, the market and how it is growing and developing, and how FM service providers are responding to the many opportunities and challenges.

Market confidence
The 2024 FM Business Confidence Index report, published in November ’24, found confidence in the business environment slipping from the higher ‘positive’ position evident in the previous year’s figures. 

Looking ahead at the then-coming 12 months, survey respondents’ expectations also reflected caution.  In 2024, 29% expected to see an improved business environment, 55% expected the coming months to be about the same and 16% anticipated worse conditions.  The shift from the previous year was clearly towards that middle ground and away from both real confidence and real concern – best described perhaps as a prevailing ’we’re waiting to see’ stance as far as confidence in the market goes.

With the next cycle of the FM Business Confidence Index due to start in December 2025, anecdotally it is clear that optimism mixed with caution continues to prevail. In 2024, there are plenty of possibilities that could be cited as potential influencing factors on how the business environment was perceived.  That remained the case in 2025. 

Market research
2025, mid-year, saw the publication of new market research which took quite an optimistic line on UK FM, forecasting a £4 billion boost for the market by 2029.

The report author, MTW Research, anticipated market growth from 2025 onwards, especially in Integrated FM, security and contract cleaning sectors.  This, MTW stated, would be driven by trends such as ESG compliance and AI integration in access control and building management.  The report also underscored additional growth drivers, including selective tendering, specialist certifications and strategic partnerships. 

Brands assessment
2025 also saw the latest iteration of the FM Brands Survey, which drew a 1000+ engagement level.  The established starting point is: when procuring FM services is buying an established, well recognised brand important?  The proportion of respondents answering ‘yes’ has been steadily increasing in recent years and peaked here at 85%.

The survey also asked respondents how well brand principles were implemented across their organisations.  57% labelled this ‘very successful’, but 29% thought it was ‘mixed’ and 11% ‘not good enough’.  In terms of testing brand success, only about half of respondents said they were aware of recent customer brand perception surveys, with the same result for employee brand perception surveys.  This suggests that the appreciation of brand importance and the management of brand may be somewhat out of line at many service providers.

Contract trends
The broad pattern for contracts in terms of total value and average value for 2024/25, as reported to i-FM, continued to hold steady, broadly in line with the past five years.

However, the 2024 suggestion of movement towards longer term contracts – that is, away from the ‘industry standard’ of three years – was not borne out in 2025.  48% of contracts reported for 2025 were for three years, as against 33% in the previous year.  Five years remained the most notable alternative choice, but accounted for only 22% of reported deals.  As in previous years, longer contracts (4+ years) are found predominantly in the public sector.

Top 50
The collective turnover of the companies in this unique industry benchmark was, at the time of writing, about £24.3bn, representing a total employment of approximately 379, 850. The turnover figure is notably up on the previous year’s mark of £22.7bn.  The employment figure is also up on last year’s 377,800.  That upturn in headcount follows two years of decline.

The only significant change to the composition of the Top 50 was the departure of FES following its acquisition by OCS. 

FM Market Landscape

Market outlook
Insight: FM is evolving into a strategic enabler of business performance and productivity, sustainability and digital transformation.

Insight: The outsourced FM market - valued at over £35 billion in the UK - is becoming an increasingly complex ecosystem.

Insight: Eight trends are rapidly shaping the future for FM - AI intensification, technology innovation and smart FM, customer alignment, human-centric workplaces, decarbonisation and ESG, budget pressure and cost efficiency, M&A-driven consolidation, and private equity investment acceleration.

Source: John Raspin, Partner, Frost & Sullivan

M&A activity
Insight: The FM sector saw record deal volumes in 2024.  In spite of challenging market conditions, deal activity in H1 2025 suggests this momentum has continued, with volumes up 25% year-on-year.

Insight: M&E/building maintenance activities represent the largest sub-sector of all deal activity, with compliance gaining market share.

Insight: More than half of deals were backed by private equity and related financial backers in 2024.

Insight: M&A in FM will continue to play a pivotal role in reshaping the market landscape.

Source: Satvir Bungar, Managing Director & National Head of Business Services, BDO

A client’s view
Insight: As market consolidation continues, the question is is this a strategic masterstroke or a risky gamble?

Insight: For buyers, the key is vigilance - scrutinise contracts, demand transparency and prioritise providers who balance growth with operational excellence.

Source: Mark Vale, Head of Facilities Management, Worcestershire County Council

Key Issues For The Sector

Brand & communication
Insight: In today’s FM market, brand and communications are not peripheral; they are central to value creation, trust and long-term growth.

Insight: A strong brand is shorthand for reliability, innovation and shared values.

Source: Melanie Duffett, Brand & Communications Director, Sodexo UK & Ireland

Work & the workplace
Insight: For years, FMs have been fielding surprise after surprise, challenge after challenge.   But FMs have a unique perspective and understanding of estates and risks.

Insight: FM’s true value lies in empowering people and organisations to succeed in a changing world, with innovation, sustainability and partnership at the heart of service delivery.

Source: Scott Davies, CEO, ISS UK & Ireland

Technology
Insight: For FM, digital capability is moving from being a differentiator to a fundamental requirement.

Insight: It is not quick or easy, but the future of FM belongs to those who take data seriously.

Source: Jason Dean, Chief Technology Officer, Equans UK & Ireland

Sustainability
Insight: Adapting the built environment is not a short-term or operational activity, but requires longer term planning with an understanding of capital plans, access to capital and sequential planning over a lengthy timeframe.

Insight: FMs should treat the next 12–24 months as a critical ‘decision window’.

Source: Sunil Shah, Managing Director, Acclaro Advisory, founder of the Sustainable Facilities Management Index

People
Insight: Creating meaningful channels of communication should be a key focus for FM. When people feel heard, they feel valued.

Insight: There’s no quick fix to the recruitment and retention challenges the industry faces. Essential steps include investing in people, creating a culture of listening and learning, and leading with authenticity.

Source: Sarah Williams, Chief People Officer, OCS Group UK & Ireland

Ownership
Insight: Moving to an Employee Ownership Trust should feel like a company’s right next step to maintain independence and identity.

Insight: The change has proved positive for the company, employees and customers: when people feel trusted and empowered, they build stronger businesses.

Source: James Bradley, CEO, Churchill Group

Summing Up

Insight: Change is FM’s middle name; but where change is not so evident is in the list of big issues the sector faces.

Insight: It is a time of both caution and optimism, confidence and uncertainty – which seems to have become normal for UK facilities management; and as such, the industry remains as dynamic and interesting as ever.

Source: i-FM

THE FULL TRENDS & OPPORTUNITIES 2026 REPORT IS AVAILABLE HERE