UK Building Controls Market Sees Strong Start to 2026 with Revenues Rising to £234.8m
The UK building controls and Building Energy Management Systems (BEMS) market has entered 2026 with renewed momentum, according to the latest Market Information Report from the Building Controls Industry Association (BCIA).
The report shows total industry revenues for Products, Installed Systems and Service & Maintenance supplied into the UK market increased to £234.8 million during Q1 2026, representing a 13.2% rise compared with the previous quarter.
The uplift marks one of the strongest quarterly performances seen in recent periods, despite wider construction output across key sectors remaining relatively subdued.
Strong growth across installed systems
The strongest growth during the quarter came from Installed Systems and Installation Value Added activity, highlighting continued demand for engineering expertise, commissioning and integrated building controls solutions.
Installation Value Added increased by 18.3% during Q1 to £130.7 million, with particularly strong growth among Systems Installers and Others, where value added rose by 21.1% compared with the previous quarter.
The proportion of value added within installed systems also increased slightly to 78.0%, reinforcing the growing importance of specialist knowledge and technical expertise in delivering high-performing buildings.
Installed Systems revenues overall increased by 16.9% to £167.7 million during the quarter. System Installer activity rose by 18.2%, while distributor-sourced installations increased by 22.4%.
Product demand shows improving momentum
Product revenues also recorded strong growth during Q1, increasing by 14.8% to £44.7 million.
OEM sales performed particularly well, rising by 28.4%, while sales to System Installers increased by 12.3%. Distributor and Other channels also saw growth of 16.3% during the quarter.
Although the rolling-year Product total remains marginally lower than the previous year at £161.6 million, the latest quarterly figures suggest improving momentum across several routes to market.
Service and maintenance remains resilient
Service and Maintenance once again continued to provide a stable and resilient revenue stream for the sector.
Revenues increased by 2.3% during Q1 to £59.4 million, while the rolling-year figure rose by 12.3% to £230.5 million.
System Installers continued to account for the majority of Service and Maintenance activity, representing 84.1% of the market during the quarter.
The continued growth in service revenues reflects the increasing focus on long-term building performance, system optimisation and operational efficiency across commercial estates.
Positive outlook for the year ahead
Overall, the Q1 2026 data suggests the UK Controls and BEMS market has entered the year in a positive position, with stronger installation activity, resilient Service and Maintenance revenues and improving Product demand all contributing to a strong quarter.
Jen Vickers, President of the Building Controls Industry Association, said:
“The latest figures demonstrate a very encouraging start to 2026 for the building controls sector. Despite wider construction activity remaining relatively subdued, the controls and BEMS market has delivered strong quarterly growth, particularly across installed systems and engineering activity.
What this highlights is the growing recognition of the important role building controls play in improving energy efficiency, reducing operational costs and supporting smarter, more sustainable buildings.
The continued resilience in Service and Maintenance activity is also significant, as building owners and operators increasingly focus on optimising existing assets and improving long-term building performance. As the industry continues to evolve, building controls will remain central to helping the built environment meet both operational and net zero objectives.”
The BCIA publishes its Market Information Report quarterly, providing detailed data on trends, revenues and growth opportunities across the BEMS sector.