Market performance indicates encouraging signs for future of BEMS sector
Highlighting an increased desire from property developers, architects and designers to decarbonise the UK’s building stock through the specification and implementation of building controls and automation, the building energy management systems (BEMS) market showed steady progress in Q3 – rising 2.6% compared to the previous quarter.
While the wider construction industry saw its performance hampered by rising material costs and ongoing skilled labour shortages, the BEMS sector saw its total revenues rise to £210.1 million, according to the Building Controls Industry Association’s (BCIA) latest market report.
Analysing the data in great detail, the BCIA’s Market Intelligence Report – released every quarter – breaks down the BEMS market into three key areas; Product, Installation Value Added, and Service and Maintenance.
Product revenue held relatively firm in Q3, sitting at £38.8 million, with most routes to market recording growth during the three-month period. In fact, manufacturers’ own systems saw a substantial uplift of 8.3%, while distributor and other channels rose by 7.4% and sales to system installers also saw an increase of 2.1%.
Installation Value Added delivered a stronger quarter compared to the previous period. Manufacturers and Systems Installers contributed most to the 2.2% rise to £112.9 million, with value added up 3.4% and 2% respectively. While the rolling-year position revealed a 4.1% decline to £455.8 million, the performance in Q3 suggests activity in this area is beginning to stabilise and improve. Service and Maintenance followed the strong performances of the other two categories, remaining one of the most resilient parts of the BEMS market.
Revenues rose by an encouraging 6.2% to £58.2 million, while Manufacturers had an uplift of 0.6% and System Installers jumped up 7.2% in the quarter. The rolling-year total saw a very slight drop of 0.1% to £215.8 million.
BCIA President Stacey Lucas suggested the growth of the BEMS market was indicative of the built environment acknowledging the need to reduce carbon footprints. She said: “The construction industry has faced a challenging 2025 but it’s pleasing to see that the BEMS sector is remaining resilient and showing promising signs for the future.
“As more building owners strive to decarbonise their buildings and meet their sustainability targets, we remain confident that the BEMS sector will increasingly gain prominence.”
