Tussell provides a snapshot of the UK public sector architecture market
The public sector represents a multi-billion market for architectural firms. Whether you're a seasoned pro in this field, or a relative newcomer, turning to the data to properly understand the state of play is key if you're looking to expand your business with government.
Beedier asked Ben Pollard, Marketing Executive at Tussell to interrogate the procurement data for some insights. Almost 3,400 architecture contracts worth a combined £7.25 billion were awarded by the public sector in the Financial Year 2023/24 according to data from Tussell’s market intelligence tool.
This article uses Tussell’s market-leading procurement insights to take a snapshot of the public sector architecture market in 2024 and uncover the top buyers, suppliers, frameworks and trends. It also includes tips on how to use these insights to win more work with the public sector.
For bespoke analysis, book a chat with the Tussell team to learn how Tussell can help your firm do more business with government.
How big is the public sector architecture market?
Whilst the value of new architecture contracts awarded by the public sector has remained largely stable for the last several years, the volume of new public sector architecture contracts has increased steadily since FY 17/18.
Between FY 2017/18 and FY 2023/24, the average contract value for architectural contracts has fallen by over 30% from £3.2 million to £2.2 million.
This is good news for SMEs and new suppliers entering the public sector market as they are more likely to be considered for smaller contracts.
Who are the largest buyers?
In the last 5 years (from FY 2019/20 – FY 2023/24) the largest architecture buyers (in terms of the value of new contracts awarded) have been Sellafield, London & Quadrant Group, Scottish Futures Trust, Surrey County Council and the Welsh Government.
Together, these 5 top buyers accounted for 34% and 2% of the value and volume architecture contracts awarded by the public sector during this time period respectively. Targeting these top accounts would be a good strategy for architectural firms hoping to do more business with the public sector.
Who are the largest suppliers?
In the last 5 years (from FY 2019/20 – FY 2023/24) the largest suppliers (in terms of the value of new architecture contracts won) were Vinci and Morgan Sindall.
Vinci and Morgan Sindall’s high market share can be attributed to large construction contracts which involve elements of architecture.
Smaller architectural firms should be aware that these larger construction suppliers may choose to subcontract some of this architectural work to smaller firms.
Tracking these top suppliers and understanding their public sector footprint can help you to reach out and form partnerships with these larger companies.
Other Architecture firms that performed well in the public sector in FY 23/24 include:
– Wilkinson Eyre – which won a £3.23 million contract with the University of St Andrews for the design of a new college building;
– Oktra – which won a £1.47 million contract with the Rail Safety and Standards Board for the design of new offices;
– Ryder Architecture – which won a £5.63 million contract with Northumbria University for design and architecture services.
What are the biggest frameworks?
Frameworks are an increasingly important route to market for any company selling to the public sector. Over 200 public sector frameworks were used in the last financial year to call off contracts relating to architectural services alone. During this time, the top framework in terms of both volume and value of architecture contract call-offs was the CCS’s Construction Professional Services Framework.
Getting on the right frameworks that your target accounts are actually using is key to success in the public sector.
What upcoming opportunities are there for architecture companies?
Keeping on top of new tenders and upcoming contract expiries is vital when it comes to building out a sales pipeline. As of the 28th of August 2024, 176 live tender and prior-information notices for architectural services have been published in the last 30 days. These can be found by sifting through various public sector portals or by using a tool such as Tussell.
Several large frameworks are also set to expire in the following months. Getting on the next iterations of these frameworks will open up new opportunities to bid on upcoming public sector contracts.
How to win more work with the public sector
Understanding the top buyers, suppliers, frameworks and trends in your market is fundamental to winning more work in the public sector. With this information, firms are able to identify the right partners, target accounts and frameworks to promote growth.
Tussell’s market intelligence platform provides users with all these insights and more. It also enables users to track upcoming tenders, market engagement days and framework & contract expiries so that they can build out a public sector sales pipeline.
Ben Pollard is Marketing Executive at Tussell, with a specialism in analysing data for public sector construction works and projects. The figures in this article were derived from Tussell. A range of broad architecture CPV codes were used to classify contracts as broadly ‘architectural’ in nature. For smaller firms (or firms with a more niche offering) different CPV codes or keywords may be used to narrow or broaden the scope of contracts, frameworks and tenders included. Hundreds of public sector suppliers – including SMEs and most of the UK government Strategic Suppliers – are already using Tussell to do more business with government.
Email contact@tussell.com or book a demo with the Tussell team to learn how you can start benefiting from Tussell’s public sector market insights today.
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