UK commercial project enquiries surge as Rehau resists sector slowdown

Polymer solutions manufacturer Rehau has reported that UK commercial new-build project enquiries have more than doubled year-on-year for the first six months of 2025, defying wider construction industry pressures and revised-down forecasts. From January to June 2025, Rehau saw double the number of active projects that the company’s commercial team is currently engaging with and progressing compared to 2024. The growth is underpinned by an 85% conversion rate on commercial project enquiries to eventual completion, demonstrating an ability to deliver at scale even as demand has increased.

The company’s performance comes at a time when the wider construction sector has faced significant headwinds. These challenges include rising inflation, delays in the planning process and weakened investor confidence, which were all highlighted by the Construction Products Association as reasons for downgrading their earlier H1 2025 forecasts. “Many in the industry have reported a cautious market in the first half of 2025,” says Barry Gilligan, Sales Director at Rehau UK. “But demand for technically robust solutions hasn’t disappeared. Instead, specifiers are becoming more selective in what they want, particularly in areas such as windows and doors. The introduction of legislation such as the Building Safety Act means that businesses are increasingly looking to reliable and responsible suppliers that can demonstrate technical support and a proven track record of professionalism.

“These stakeholders expect suppliers to deliver exceptional service alongside quality products, especially as they look to identify solutions that align with specific project goals such as thermal performance. This isn’t only limited to housing either, as we’re also seeing a spending uptick in other sectors, including school construction.”

Following a turbulent first half of the year, the outlook for the second half of 2025 is more optimistic, with the Government pledging £39 billion to construct social and affordable housing in England alone.  The uplift in funding is expected to stimulate new projects and accelerate planning activity across the housing sector, placing further pressure on building fabric and component manufacturers to meet rising demand levels.

According to Barry, this pressure also opens up interesting opportunities for developers and the wider supply chain, provided that all relevant project stakeholders prioritise greater collaboration. He is confident Rehau’s H1 uplift can continue into the second half of the year, as the business continues to work to secure long-term projects in sectors buoyed by further financial support.

“As funding commitments begin to translate into real-world projects, the challenge for the industry will be to deliver at pace without compromising on quality,” Barry concludes. “That means closer collaboration between developers, specifiers and suppliers, and a renewed focus on long-term value, not just short-term cost.

“The need for these closer working relationships isn’t just limited to housing projects either. We’re also seeing a construction spending uptick in multiple other areas, including for hotels and schools. For the latter, we believe it is likely due to funding allocated by the School Rebuilding Programme starting to come through, and underlines why it is vital the supply chain collaborates to meet growing, policy-driven demand in this instance and beyond.”