The Public Sector in the Facilities Management (FM) market in the UK was estimated at £58.4 Bn, accounting for 49.9% of the total FM market in the country.
In the Public Sector, the soft FM services contributed £21.4 Bn, accounting for 36.8% of the market share; followed by Integrated FM (26.2%) and Hard FM (22.4%).
Soft FM and Integrated FM services together account for more than half (~63%) of the public FM market in the UK.
Other Support Services include back office processing, finance & accounting services, consulting, schemes and programmes, vehicle/fleet management, interpretation and translation services among others.
The public sector is expected to offer opportunities worth c.£3.5 Bn over the next four years (2020-23) with 100 contracts in the £1 Mn – 5 Mn range and >100 contracts in the £5 Mn – 50 Mn range. A total 226 contracts are expected to come up for renewal in the public sector in the over the next four years (2020-23).
UK FM Market – Public Sector
Source: Baachu RAIN Database dated 15 Dec 2020
Market Sectors (UK)
- Within the Public Sector, the Central Governmentis the largest procurer of FM services accounting for almost a third (~31%) of the FM market in the UK, followed by Local Government (~22%) and Healthcare (~9%)
- The Central and Local Governmentstogether offer the biggest opportunity to FM providers in the Public domain as they account for more than half the market (~53%) of the Public FM Market in the country
UK Public FM Market – Sectors
Total UK Public FM Market = ~£58.4 Bn
Others include Housing, Transport, and Leisure (Museum, Libraries) etc.
Source: Baachu RAIN Database dated 15 Dec 2020
Competitive Landscape
- Interserveis the largest FM service provider in the UK FM Public Sector, accounting for ~6% of the total market share with a TCV of ~£3.4 Bn, followed by Engie (~£1.8 Bn) and Mitie (~£1.8 Bn)
- Within the sector, Interserveis the largest player (with a TCV of £1.7 Bn) to serve Central Government, the largest public sector FM services procurer, followed by Mitie (~£593 Mn) and Sodexo (~£550 Mn)
UK Public FM Market – Key Players