UK Facilities Management Market Report 2022
“The facilities management sector offers a wide range of services, including energy efficiency, to a very broad audience, offering some resilience in the face of potential wider economic disruption. Under…

UK Facilities Management Market Report 2022

£ 1,495 (Excl.Tax)


The UK Facilities Management Market Report examines the market’s recovery post-COVID-19, the expansive use of technology to deliver performance targets, and the impact of the cost of living crisis on the facilities management market. This report covers the facilities management market size, market forecast, market segmentation and facilities management market trends.

Current Facilities Management Market Landscape

Inevitably, an economic downturn will impact the facilities management market but the relationship of the market to the economy is not as simple as automatically reflecting the circumstances. With extreme pressure now placed on public-sector spending, the facilities management market can expect new contracting-out opportunities to emerge as part of the drive for greater efficiency.


Future Facilities Management Market Trends

The long-term prospects remain strong for the facilities management market. Technology is increasingly being used by the facilities management market to deliver superior performance and offset disproportionate labour cost growth which provides a compelling reason to companies to outsource. The facilities management market also has a fundamental role to play in assisting clients in ESG objectives and energy efficiency.

To discover more about the UK Facilities Management Market Report 2022, read our UK Serviced Offices Market Report 2022, or take a look at our Industrial Market Research Reports.


Quickly Understand

  • Examines the recovery from COVID-19 and the impact of the cost of living crisis on the facilities management market.
  • The evolution of the facilities management market and their assistance to companies in their ESG objectives.
  • The expansive use of technology within the facilities management market.
  • Examines the facilities management market size.


Covered in this Report

Brands: Allied Universal/G4S, CBRE GWS, Compass Group, ISS Facility Services, Mitie.

Products: Security services, cleaning services, catering services, postal services, secretarial services.


Expert Analysis from a Specialist in the B2B Sector

This report, written by Terry Leggett, a leading analyst in the B2B sector, delivers in-depth commentary and analysis to highlight current trends in the facilities management market and add expert context to the numbers.

The facilities management market offers a wide range of services to a very broad audience, offering some resilience in the face of potential wider economic disruption. Under such circumstances, its long established raison d’etre of offering cost benefits becomes even more important. At the same time, the industry is using technology to deliver superior performance, offset disproportionate labour cost growth, provide a compelling reason to outsource, offer a competitive advantage to the provider and assist in client retention. Such initiatives include the increasingly important environmental, social and governance issues.”

Terry Leggett - Research Analyst

Terry Leggett
Senior Analyst


Table of Contents

  1. Overview

    • Key issues covered in this Report
    • Products covered in this Report
  2. Executive Summary

    • The five-year outlook for facilities management
      • Figure 1: Facilities management outlook, 2022-27
    • The market
    • Market size and forecast
      • Figure 2: Addressable market size for facilities management, 2016-27
      • Figure 3: Segmentation of the addressable market for facilities management, by type of contract, 2016-27
    • Service sector segmentation
      • Figure 4: Segmentation of contracted-out services, 2022 (£ billion)
    • Trends and influences
    • Companies and brands
    • An unusual strategy
      • Figure 5: Facilities management M&A activity, 2016-22
  3. Issues and Insights

    • Is facilities management now recession-proof?
      • Figure 6: Government extra spend associated with COVID-19, 2020-22 (£ million)
      • Figure 7: Major COVID-19 related facilities management revenues, 2020-22 (£ million)
    • Digitally supported IFM is a driving force of ESG
  4. Market Size and Performance

    • Private sector growth post-pandemic
      • Figure 8: Addressable market for facilities management, 2016-22
    • Market trends
      • Figure 9: Trend in contracted-out services, 2016-2022
      • Figure 10: Trend in TFM and other contracted-out services, 2016-22
  5. Market Forecast

    • Growing market share
      • Figure 11: Facilities management outlook, 2022-27
    • The efficiency quest driving demand
      • Figure 12: Market forecast for addressable contracted-out services, 2022-27
      • Figure 13: Forecast breakdown of addressable services, 2022-27
    • Forecast methodology
  6. Market Segmentation

    • FM packages
      • Figure 14: Segmentation of the addressable market for facilities management, by type of contract, 2016-22
    • Service sectors
      • Figure 15: Segmentation of contracted-out services, 2022 (£ billion)
    • Mechanical and electrical contracting
      • Figure 16: Market size for mechanical and electrical engineering, 2016-27
      • Figure 17: Segmentation of M&E contracting, by type of work, 2016-27
      • Figure 18: Segmentation of M&E contracting, by type of demand, 2016-27
    • Private Finance Initiative
      • Figure 19: PFI/PF2 unitary charges, 2016-27
      • Figure 20: Capital value of outstanding PFI/PF2 contracts as at March 2018
    • Landscaping and gardening
      • Figure 21: Market size of contracted-out landscaping & gardening addressable by facilities management companies, 2016-27
    • Office services
      • Figure 22: Market size of contracted-out office services, 2016-27
    • Cleaning
      • Figure 23: Market size of contracted-out cleaning services, 2016-27
    • Catering
      • Figure 24: Market size of contracted-out catering services, 2016-27
    • Building fabric maintenance
      • Figure 25: Market size of contracted-out building fabric maintenance services, 2016-27
    • Security
      • Figure 26: Market size of contracted-out security services, 2016-27
      • Figure 27: Gross expenditure on immigration and asylum operations, 2016-21
    • Other services
      • Figure 28: Market size of other contracted-out services, 2016-27
  7. Market Drivers

    • The economy
    • GDP
      • Figure 29: UK GDP, 2016-2022
    • Inflation, a problem for consumers and industry
    • …and despite government support, energy prices are still a major concern
    • High inflation and rising interest rates will weigh down the post-COVID-19 recovery
    • Consumer spending power will be curbed
    • Unemployment is at a near 50-year low
    • ESG – a primary driver of corporate policies
    • Repair and maintenance
    • Private industrial and commercial
      • Figure 30: Private industrial and commercial RMI output, 2016-27
    • Public non-residential
      • Figure 31: Public non-residential RMI output, 2016-27
    • Distribution of workplaces
    • Industry structure
      • Figure 32: Number of PAYE/VAT registered business establishments, by sector, 2016-22 (000s)
    • Stability in target sector
      • Figure 33: Number of PAYE/VAT registered business establishments with a turnover over £2 million, by industry and turnover, 2022
    • COVID-19 impact on working practices
      • Figure 34: Proportion of workers working from home, hybrid working and travelling to work, 2021-22
    • Employee costs
    • National Minimum Wage and National Living Wage
      • Figure 35: Development of the NMW and NLW, 2016-22 (£s per hour)
      • Figure 36: Development of the real Living Wage, 2016-22 (£ per hour)
    • Apprenticeship Levy
    • Workplace pensions
      • Figure 37: Composition and progression of workplace pension contributions, 2012-22 (% of earnings)
  8. Industry Structure

    • Boundaries are flexible
      • Figure 38: Development of the facilities management sector, 2018-22
      • Figure 39: Employment structure of facilities management sites, 2022
      • Figure 40: Turnover analysis of the facilities management sector, 2022
    • M&A activity
    • Strong growth in activity
      • Figure 41: Facilities management M&A activity, 2016-22
    • Private equity attracted to the industry
      • Figure 42: Segmentation of facilities management activity, by source of finance, 2016-22
    • Diverse attractions
      • Figure 43: Facilities management M&A activity, by sector, 2021
      • Figure 44: Segmentation of facilities management M&A activity, by source of acquirer, 2016-22
  9. Company Profiles

    • Allied Universal/G4S
    • Activity
    • Performance
      • Figure 45: Financial performance of G4S, 2016-20 (£ million)
      • Figure 46: Geographic segmentation of G4S revenues, 2020 (£ million)
      • Figure 47: Financial performance of Allied Universal (Europe), 2017-20 (£ 000)
    • Strategy
    • CBRE GWS
    • Activity
    • Performance
      • Figure 48: Revenues of CBRE GWS, by quarter, 2020-22
      • Figure 49: Segmentation of CBRE GWS net revenues by industry, 2022
      • Figure 50: Financial performance of CBRE GWS in the UK, 2017-21 (£ million)
    • Strategy
    • Compass Group
    • Activity
    • Performance
      • Figure 51: Financial performance of Compass Group, 2017-21 (£ million)
      • Figure 52: Segmentation of European revenues of Compass Group, 2021
      • Figure 53: Segmentation of European revenues of Compass Group, H1 2022
    • Strategy
    • ISS Facility Services
    • Activity
      • Figure 54: Geographic segmentation of ISS Revenues, 2021
    • Performance
      • Figure 55: Segmentation of ISS Northern Europe revenues, by core service, 2021
      • Figure 56: Financial performance of ISS Facility Services, 2017-21 (£ million)
    • Strategy
    • Mitie
    • Activity
    • Performance
      • Figure 57: Financial performance of Mitie, 2018-22 (£ million)
      • Figure 58: Segmentation of Mitie revenues, 2021-22
    • Strategy
    • Serco Group
    • Activity
    • Performance
      • Figure 59: Financial performance of Serco Group, 2017-21 (£ million)
      • Figure 60: Segmentation of Serco Group revenues, by sector, 2020-21
      • Figure 61: Segmentation of Serco Group revenues, by region, 2020-21
    • Strategy
    • Sodexo
    • Activity
    • Performance
      • Figure 62: Financial performance of Sodexo in the UK, 2017-21 (£ million)
    • Strategy
  10. Appendix: Forecast Methodology

    • Market forecast and prediction intervals
      • Figure 63: Forecast for IFM, other contracted-out and in-house services, 2022-27
  11. Appendix – Data Sources, Abbreviations and Supporting Information

    • Market drivers and assumptions

About the report

This market report provides in-depth analysis and insight supported by a range of data. At the same time, introductory and top-level content is provided to give you an overview of the issues covered.


Mintel provides a range of market information, frequently through the category level, including market size and forecasting, complete with market drivers that illustrate the forces that shape a category or market.


Mintel’s proprietary consumer research provides our analysts with the attitudinal and behavioral data used to provide valuable insight to topical issues.


Mintel provides overviews of the top brands and manufacturers, and uses consumer research to explore attitudes and reactions to brands, as well as insight into what will resonate with consumers.


Market reports provide appendices of data to support the research and insight produced. Our databooks* are easily manipulated and downloadable to support your research needs and covers factors from consumer attitudes to market forecasts.

*databooks not available with UK B2B Industry reports.

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