FMJ Facilities Management magazine providing industry-specific intelligence to FM and property professionals
Maintenance costs, as measured by the BCIS All-in Maintenance Cost Indices, are set to rise 15 per cent by 2Q2030, according to the latest forecast data from the Building Cost Information Service (BCIS).
Cleaning costs, mainly driven by labour costs, are expected to rise by 24 per cent over the same period.
Dr David Crosthwaite, Chief Economist at BCIS, said: “The UK economy is facing persistent challenges, with zero expansion recorded in July 2025.
“Inflation continues to erode real incomes, intensify cost-of-living pressures and keep prices elevated across many sectors, while tariff headwinds and uncertainty around tax rises add further strain. Higher wage costs, volatile energy prices driven by geopolitical unrest, and inflationary pressures from both domestic and international sources all remain obstacles.
“Despite this difficult backdrop, the repair and maintenance (R&M) sector is showing modest growth in 2025, with output edging upward and further increases forecast over the next four years. For facility managers, the major challenges to cost control remain rising labour costs and limited funding.”
BCIS expects energy costs to fall by 26 per cent between 2025 and 2030, reflecting the anticipated easing of wholesale gas and electricity prices as supply chains normalise, new generation capacity becomes available, and energy-efficiency measures take effect across the built environment.
Dr Crosthwaite commented: “Lower wholesale prices and reduced demand pressures should help to stabilise energy costs over the medium term, though volatility and geopolitical risks mean facility managers will still need to plan carefully for fluctuations.”
R&M output increased only slightly in 2Q2025 compared with 2Q2024, whereas total new work output was up by 3.8 per cent over the same period. Public housing R&M increased 4.7 per cent, while private housing R&M was down by 5.5 per cent. Non-housing R&M increased by 4.0 per cent.
BCIS forecasts R&M output will grow by 10 per cent between 2025 and 2030.
Dr Crosthwaite added: “After a period of strong growth in 2024, in which R&M output increased by 8.7 per cent, this sub-sector faces a softer outlook in the short term with a sluggish economy and weaker household demand. Nevertheless, we expect output to pick up again from 2026 onwards and to deliver steady, if moderate, growth through to 2030.”
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