Market Conditions Review
WAVE 17
FIA Market Conditions Survey – Wave 17
The 2025 Fire Industry Market Conditions Survey Report provides a comprehensive overview of the UK fire safety sector at a time of significant challenge and adjustment. It explores how businesses are navigating an environment shaped by inflation, supply chain instability, and tightening regulatory requirements, while also adapting to shifting customer expectations and evolving tender practices. The report places particular emphasis on market demand, workforce development, tendering activity, supplier relationships, and export performance. Crucially, it serves as an important tool for businesses, giving them insight into evolving market trends and enabling them to benchmark their own experiences against the wider industry. In doing so, it offers not only a snapshot of present conditions but also an indication of the sector’s resilience and capacity for adaptation in the face of mounting pressures.
Enquiries and Orders
This year’s survey highlights a stabilisation in both enquiries and orders. Businesses across the sector reported that activity levels have remained largely consistent with the previous twelve months, marking a shift from the more varied responses of Wave 16. The prevalence of “about the same” answers suggests that the sector has reached a
steady baseline, where fluctuations in demand are less pronounced than before. Respondents noted that while order books are steady, they do not yet show strong signs of recovery or acceleration. This steadiness can be interpreted positively as a sign of resilience in difficult economic conditions, but it also suggests limited growth opportunities in the short term. Firms are therefore maintaining cautious optimism while balancing expectations against the realities of a flat market.
Tender Opportunities
Responses point to a modest increase in tendering activity, though the mix of opportunities has shifted. Tender prices have shown signs of creeping upward, with more firms recognising incremental cost increases in their bids. Requirements for third-party certification have remained broadly steady, with a slight increase reported compared with last year. Several businesses observed that while opportunities are available, competition has intensified, with a greater number of firms bidding for the same projects. This has put pressure on margins and required companies to refine their value propositions. The tendering environment therefore reflects both opportunity and heightened competition.
Costs and Supplier Pricing
A recurring theme is the upward pressure on costs. Firms continue to face challenges from inflationary conditions, with supplier pricing rising steadily. While some businesses have absorbed these increases, others are passing them through to clients via higher tender prices. The squeeze between rising costs and competitive pricing remains a delicate balance for many. Respondents highlighted that raw material prices and imported goods remain significant cost drivers, while energy and logistics costs continue to weigh on overall profitability. The persistence of these pressures suggests that firms will need to remain vigilant in managing costs and seeking efficiencies to preserve competitiveness.
Supplier Delivery Times
Delivery times from suppliers remain a concern, though the degree of disruption has lessened compared with earlier waves of the survey. Many respondents reported that while delays persist, they are no longer worsening. This suggests that supply chains are gradually adjusting, but businesses remain cautious about future volatility. Companies explained that while most goods are arriving within acceptable timeframes, the uncertainty around global shipping routes and availability of critical components means delays cannot be ruled out. The sector continues to adapt by diversifying suppliers and holding more inventory as a buffer against potential disruption.
International Trade
Export activity has largely plateaued, with most firms reporting little change compared to last year. The share of businesses indicating growth in overseas markets has declined, replaced by a stronger trend of stability. While this points to resilience, it also signals that international expansion is subdued, and that firms may be focusing more on maintaining current positions than seeking aggressive growth abroad. Some respondents indicated that barriers such as customs procedures, currency fluctuations, and regulatory divergence continue to make exports challenging. However, a subset of firms with established networks abroad reported that their positions remain stable, highlighting the importance of existing relationships in sustaining export performance.
Workforce Development
Labour market pressures continue to weigh heavily on the sector. This year’s findings indicate that more firms are shedding skilled labour, reversing the recruitment emphasis seen previously. This trend raises concerns about the long-term capacity of the industry, as the loss of expertise may hinder both project delivery and innovation. Businesses also highlighted the challenge of filling vacancies with suitably qualified staff, reflecting wider skills shortages in the UK economy. Respondents warned that if these trends persist, the industry may face constraints in scaling up to meet demand when growth does return. Retaining and developing skilled staff is therefore seen as a strategic priority.
Training
Alongside workforce concerns, investment in training remains a key issue. While some firms report continuing to upskill staff, others are scaling back due to cost pressures. The uneven approach to training risks deepening capability gaps, especially if experienced staff are lost without adequate succession planning. Strengthening training pipelines is therefore critical to maintaining industry standards. Respondents noted that apprenticeships, professional qualifications, and in-house training programmes are vital tools, but require sustained investment. Without consistent training strategies, the sector risks a future shortage of qualified professionals able to keep pace with regulatory and technological change.
Key Findings
This section brings together the most significant themes from the survey, providing a concise overview of where the sector stands and where the greatest risks and opportunities lie. It highlights the balance between areas of stability and the underlying pressures that require close attention from businesses and stakeholders.
• Enquiries and orders have stabilised at consistent levels, replacing the volatility seen in previous years.
• Supplier costs continue to rise, though delivery times show signs of settling.
• Export performance is steady but lacks significant growth momentum.
• Skilled labour losses are increasing, raising long-term risks for industry capability.
• Training efforts are uneven, which could widen future skills gaps.
Conclusion
The Wave 17 survey portrays a sector in consolidation. While many areas show stability, underlying pressures persist in costs, labour, and training. The reduced volatility compared to Wave 16 provides firms with a measure of predictability, yet the warning signs of workforce contraction and rising supplier costs highlight the importance of proactive planning. For businesses, the survey underscores the value of monitoring market trends closely, ensuring they are prepared not only to adapt to present conditions but also to safeguard the future resilience of the fire safety sector.
We thank everyone for taking part in this year’s survey and for contributing valuable insights that help us better understand the challenges and opportunities across the industry.
Have you had more enquiries from the Public or Private Sector?
Where have the majority of your enquiries come from geographically?
have the majority of your orders come from geographically?
Have you recruited skilled labour in the last 12 months or have you shed skilled labour in the last year? (%)
Have you recruited apprentices in the last 12 months? (%)
Have you increased or decreased the amount of training for your workforce in the last 12 months? (%)
Do you intend to increase or decrease the amount of training for your workforce in the next 12 months? (%)
Have you received more or less invitations to tender for work in the last 12 months when compared to the previous year? (%)
Have tender prices increased in the last 12 months when compared to the previous year? (%)
Have you seen more or less tenders in the last 12 months that require Third Party Certification when compared to the previous year? (%)
Have suppliers prices in general increased, stayed the same or decreased in the last 12 months when compared to the previous year? (%)
INCREASE
STAYED THE SAME DECREASE
Have suppliers delivery times in general increased, stayed the same or decreased in the last 12 months when compared to the previous year? (%)
STAYED THE SAME
If you are an exporter, has your export business grown in the last 12 months when compared to the previous year?(%)