From £5.7 to £5.9 Billion: Forecasting the Growth of the UK Construction Equipment Rental Market

The UK construction equipment rental market (CERM) is demonstrating remarkable resilience in the face of economic challenges. Our latest ‘Construction Equipment Rental Market Report UK 2024-2028’ highlights a projected growth rate of 3% in 2024, underscoring the sector’s ability to adapt and thrive even amidst high inflation and political uncertainty. This resilience is a testament to the industry’s flexibility and the increasing preference for rental solutions over outright purchases.

To celebrate the launch of this report, we have shared just some of the insight included in the report below.

Market Growth Projections

The UK construction equipment rental market is expected to grow from £5.7 billion in 2023 to £5.9 billion in 2024, reflecting a steady growth rate of 3% despite economic challenges such as high inflation and rising construction costs.

Market Segmentation

The CERM market can be segmented into two main categories:

• Plant/equipment for construction activity/access
• Plant/equipment for site management/operation, 32% of the market in 2024.

Market Fragmentation

The rental market is highly fragmented, consisting of numerous small to mid-sized independent companies alongside a few major national players, resulting in intense price competition and varied performance across different market segments.

Economic Conditions

Market growth rate is influenced by high inflation and interest rates. The reluctance of construction companies to invest in new equipment has led to an increased preference for rental solutions.

Future Outlook

The report projects an annual growth rate of 3-5% between 2024 and 2028, fuelled by anticipated advancements in the UK construction sector and the increasing adoption of digital transformation strategies by larger companies. These strategies are expected to significantly boost operational efficiency and profitability across the industry.

Editor’s Quote

Editor of the Construction Equipment Rental Market Report UK 2024-2028, Anne Williams states:

“As we look toward the future, the importance of digital transformation cannot be overstated. Companies that embrace operational efficiency and strategic diversification will be well-positioned to capitalise on emerging opportunities in the construction equipment rental market. Our report serves as a vital resource for industry stakeholders aiming to navigate this evolving landscape and seize the potential for growth.”