BCIA has published its latest quarterly MIS report, investigating the Building Energy Management Systems industry in Q3 of 2024
The report compares the BEMS market to the previous quarter and year-on-year, predicting a 3.2% year-on-year increase up to £854m.
Increased demand for Building Energy Management Systems
In the face of the industry’s struggles, such as with the skills shortage, the building controls sector specifically is performing well, and major companies and organisations are leading the way in innovation and technology.
The report breaks the industry down into three components: product, installation value-added, and service and maintenance. In Q3 2024, the total value of products supplied to the BEMS market dipped by 1.8% from the previous quarter to £39.2, but compared to Q2’s drop of 5.8% from Q1, this is still encouraging.
In spite of this and product sales to systems installers dropping by 17%, manufacturers’ own systems saw an extremely strong growth of 28.9% due to an increased need for BEMS across the built environment, which is focusing more heavily on sustainability and energy efficiency.
Distributors saw a growth year-on-year of 3.3%, and the rolling year total for product sales remained fairly steady, with a marginal increase of 0.4%.
The rolling year figures for the value added through engineering, commissioning, panels, and installation activities showed a growth of 3.8%, to £475.2m, in spite of a quarterly decrease of 14% (£107.5m). The value added by manufacturers saw a decline of 6.5%, while the value added by systems installers also saw a decrease of 15.5%, likely influenced by the time of year, meaning construction demand is lower.
Service and maintenance saw a growth in the UK of 0.6%, to £51.4, thanks to a rise in quarterly contributions of manufacturers by 23.4%. Service and maintenance also saw a 4% growth over the rolling year, while systems installers’ rolling year figures dropped by 3% after a large rise in the last quarter.
“The building controls sector has continued to perform commendably”
BCIA president Stacey Lucas said: “The wider construction industry has faced some significant challenges in the last few months but the building controls sector has continued to perform commendably. This is in no small part down to the increasing focus on sustainability throughout the built environment and the drive to reduce carbon emissions wherever possible.
“The BEMS industry remains a vital lynch-pin of energy efficiency and that’s set to increase further as we move into 2025 and beyond.”
“Despite the construction industry as a whole stagnating, the BEMS market continues to offer value, highlighting its importance to the building controls industry. As a leading voice in the industry, the BCIA is focused on not only supporting its members but also increasing awareness of the need to embrace building controls technology to ensure a greener and brighter future for the built environment and keep the UK on the path towards net zero.”
Despite the slight dip for the BEMS market, certain sectors are still climbing, maintaining a positive outlook for the future.
Recently, the BCIA highlighted the success of their Young Engineers Network, and the promising future for training young engineers.
