The building energy management systems (BEMS) market showed steady progress in Q3, rising 2.6% compared to the previous quarter, according to the Building Controls Industry Association’s (BCIA) latest market intelligence report.
While the wider construction industry saw its performance hampered by rising material costs and ongoing skilled labour shortages, the BEMS sector saw its total revenues rise to £210.1 million, highlighting an increased desire from property developers, architects and designers to decarbonise the UK’s building stock through the specification and implementation of building controls and automation.
BCIA President, Stacey Lucas, said: “The construction industry has faced a challenging 2025 but it’s pleasing to see the BEMS sector is remaining resilient and showing promising signs for the future.
Product revenues held relatively firm in Q3, sitting at £38.8 million, with most routes to market recording growth during the three-month period. In fact, manufacturers’ own systems saw a substantial uplift of 8.3%, while distributors and other channels rose by 7.4% and sales to system installers also saw an increase of 2.1%.
OEM activity did see a drop in the third quarter of 2025. However, this remains one of the smaller routes within the Product category. The overall rolling-year total for product stood at £162.1 million – a marginal decrease of 0.6% compared to the previous 12 months.
Installation Value Added delivered a stronger quarter compared to the previous period. Manufacturers and Systems Installers contributed most to the 2.2% rise to £112.9 million, with value added up 3.4% and 2% respectively. While the rolling-year position revealed a 4.1% decline to £455.8 million, the performance in Q3 suggests activity in this area is beginning to stabilise and improve. In fact, the proportion of value-added work within total installed systems remains high at 76.9%.
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