Utilities set to boost civils workload in 2026

Utilities civil engineering projects will play a key part in helping drive up civils work in 2026 and beyond.

From five-year frameworks being set up by water utilities to electricity substations and cabling work, the utilities sector is looking buoyant.

Glenigan economics director Allan Wilén comments: “Utilities work is expected to grow, driven by higher investment in electricity generation and distribution to support the UK’s net zero transition, as well as increased capital spending by the water industry.”

“The £104 billion funding package approved by Ofwat for investments between 2025 and 2030 is expected to drive sector activity throughout the next two years, supporting major upgrades such as new reservoirs and measures to reduce pollution.

“Alongside a rise in general activity, the utilities segment will benefit from major projects starting on site.”

Utility programme

Glenigan’s construction industry research has identified a programme of 100 utilities civil engineering projects with planning permission and scheduled to start on site in the forthcoming 12 months.

Major water utilities projects are procuring frameworks covering the AMP8 and AMP9 spending rounds.

Work coming up ranges from a £230 million reservoir works framework being set up by United Utilities and due to start early next year and run until 2031 (Project ID: 24319461) to a £1.8 billion major infrastructure delivery framework being procured by Anglian Water, which is due to begin in the summer of 2026 and continue for five years (Project ID: 25596822).

Thames Water has an even bigger commitment and is arranging a £5 billion major projects framework covering both AMP8 and AMP9, which will run until 2030 (Project ID: 25437009).

Energetic plans

Energy work is also set to drive utilities civil engineering projects and workload.

At an underlying level (schemes valued at up to £100 million), work fell back sharply in the latest quarter to November 2025 but still totalled £708 million.

Again, major utilities civil engineering will provide significant opportunities, such as a £157.4 million 400KV electricity substation at Dunbar in Scotland, where work is expected to begin early next year (Project ID: 23307951).

Across the Irish Sea, Northern Ireland Electricity Networks is setting up a £463 million substation framework with work awarded in two lots and due to run from summer 2026 into 2034 (Project ID: 25180015).

Elsewhere, a £363 million proposal by National Grid to boost the electricity connection between Bramford to Twinstead in Suffolk for the new Sizewell C nuclear plant is also due to commence construction next spring (Project ID: 10524764).

Cable ties

A number of major cabling projects are also moving through the procurement cycle to tie up contractors and are expected to start on site in the next 12 months.

These include Network Rail’s £1 billion Project Reach to upgrade 6,000 km of trackside fibre optic data cabling (Project ID: 21190978) and another billion-pound plan for a subsea interconnector cable from Budleigh Salterton in Devon to France via the Channel island of Alderney (Project ID: 17028502).

As the UK looks to stay connected across all areas of the economy, utility work will become more important – and available – than ever.