Scotland’s offsite construction sector is expected to grow 9% over the next five years, according to a review commissioned by the Scottish government.

Holyrood’s Innovation, Investment and Industries Division funded the strategic review, which predicts the sector will grow from £220m to £240m.

The report also predicts exports via direct supply, license and joint ventures will grow from less than £5m to over £50m.

Prof. Sean Smith, Dr Robert Hairstans, Russell Macdonald and Fausto Sanna from the Institute for Sustainable Construction at Edinburgh Napier University interviewed companies that have entered the offsite sector during the last 12 years.


The stats reveal that, were the market demand to increase, even without additional new premises, this would lead to an increase in 500 plus jobs in the offsite manufacturing sector.

The output from offsite construction in 2011/12 is currently 6,000 houses and apartments.

The report says if market demand was to increase, there could be an annual offsite output from Scottish offsite manufacturing facilities of 16,500 houses/apartments.

A number of drivers and opportunities were identified by the companies interviewed. The report lists potential key government incentives which would support the growth of the sector.

Namely, the report calls for “recognition in the public procurement process of the positive impact that offsite construction provides in better quality, reduced waste, less emissions from site vehicles and transport and less remedial works.”

It also cites a need for an “inclusion of offsite construction within the Section 7 (Sustainability) of the Buildings Standards (Scotland)” and the “establishment of an Offsite training academy which would support skills training for offsite to deliver sector growth, quality and building performance.”

(IT)