Property Team Leader Declan Bacon has summarised the top 5 challenges facing the building consultancy sector next year. This top 5 will consider our projections for how and why the market will change next year, and the challenges this will present for the wider sector.

5. Project Complexity and Client Expectations

Projects are growing increasingly complex, both in scope and client demands. Clients now expect real-time insights into project progress and outcomes, which requires firms to adopt mobile and data management tools for transparency. This complexity challenges consultants to deliver within strict timeframes and budgets while adapting to changing client needs mid-project.

4. Digital Transformation and Competition

Rapid digitalisation, including the adoption of AI and automation, is transforming the landscape. While tools like process automation offer opportunities for efficiency, they also introduce new competition, as companies leverage these technologies internally, reducing their reliance on consultants. Independent consultants and digital firms are also providing lower-cost, technology-driven alternatives, creating more options for clients and pressuring traditional firms to adapt, and so surveyors must work harder to keep up.

3. Economic Pressures

Building consultants are grappling with rising costs, especially in wages, due to the industry-wide talent shortage. Additionally, price pressures in consulting are heightened as clients demand more value for their investments, often leading to tighter profit margins and a need for competitive pricing strategies.

2. Sustainability and Regulatory Challenges

With governments enforcing stricter environmental regulations, especially regarding emissions and energy efficiency, consultants are under pressure to incorporate sustainable practices. Navigating these regulations, while costly and time-intensive, is essential to remain compliant and competitive, as sustainability increasingly influences project selection.

1. Supply Chain and Workforce Shortages

Global supply chain disruptions and limited access to skilled labour remain critical issues, with the skills gap in the industry widening each year. Building consultants must find innovative ways to mitigate delays, often through careful risk management and flexible project planning. Workforce shortages are exacerbated by the demand for highly specialized skills, pushing firms to invest in training or compete more aggressively for top talent.

Sources like PWC's industry report on 2025 provide a detailed look into these issues, emphasizing that building consultants will need to leverage digital tools, manage increasing project complexity, and focus on cost controls to thrive in this changing environment. Read it here: https://www.pwc.in/assets/pdfs/industries/capital-projects-and-infrastructure-publications/pwcs-construction-industry-vision-2025-towards-a-digital-future.pdf

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