After a slowdown in 2025 caused by weaker manufacturing output, the industrial construction market is set for a sustained upswing over the next two years, according to Glenigan.

Its latest research indicates underlying project starts (schemes valued under £100 million) should increase by 12% this year, followed by a 13% annual uplift in 2027.

Glenigan economics director Allan Wilén comments: "Industrial construction growth over the next two years is expected to be driven by a recovery in manufacturing projects and continued growth in warehousing starts. The rise of online retailing is likely to increase demand for logistics and light industrial space, supporting investment in both larger strategic distribution centres and smaller local facilities.

"The industrial and logistics sector is also set to benefit from the new National Planning Policy Framework, which requires local authorities to identify strategic sites for local and inward investment, including suitable locations for gigafactories, freight hubs, and logistics facilities."

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Planning data over the past two years shows the North West, West Midlands and East of England leading the way for underlying industrial consents. The North West moved ahead of the West Midlands last year for approvals, with many schemes now progressing through the delivery phase.

Around 250 industrial projects are scheduled to start on site in the North West over the next 12 months, including further phases at Tritax's Symmetry Park in Wigan, where work is due to begin in May (Project ID: 18295983).

In the West Midlands, 163 underlying schemes with planning permission are expected to get underway in the coming year. These range from the £30 million Indurent Park at Longbridge in Birmingham (Project ID: 25206406) to additional phases at Henry Boot Development's ongoing SPARK industrial project in Walsall (Project ID: 25195962).

The East of England has 247 underlying projects slated to start within the next 12 months, including Kier's £7.9 million Trade City Maple Cross development in Hertfordshire, where a start is imminent (Project ID: 24359039), and a £19.9 million extension to a FedEx warehouse at Stansted Airport set to commence in September (Project ID: 25057527).

At the top end of the market, Glenigan has identified 100 industrial schemes each worth £100 million or more that are due to begin in the coming year. Several remain in the planning process, such as Segro's £159.4 million Whitley South project at Baginton, Warwickshire, which has secured committee approval and could start this summer (Project ID: 25345584). Tritax has also lodged plans for a £113.8 million warehouse and office in Rugby, with a potential summer start if the application is approved (Project ID: 25540164).

Major industrial clients including Tritax, Prologis, Indurent, Panattoni, Henry Boot, Peel Holdings and Chancerygate appear in Glenigan's Top 100 clients. With a strong pipeline advancing through planning, the sector offers a healthy stream of opportunities to support future workloads.

Image: Place North West