The UK Contract Cleaning Market Development report

After researching the UK contract cleaning market development and taking into account various other factors MBD has reached certain conclusions in its recently published report:
• Market Review 2004 - 2008: The UK market for contract cleaning increased by a moderate 2% to £5727 million during 2008, continuing the growth trend evident in recent years. Indeed, this consolidates cumulative growth of 14% evident between 2004 and 2007. Annual growth levels are expected to slow from 5% during both 2006 and 2007, to a more moderate 2% in 2008, reflecting the economic downturn and price competition in an industry where customer loyalty is becoming less prevalent as clients seek more competitive contracts prior to renewal.
Furthermore, volume demand is reportedly declining as smaller and medium sized companies are internalising certain cleaning duties.
Market growth evident during much of the review period is partially attributable to organic growth, largely through increased market penetration, taking sales from in-house contracts. However, growth also reflects increasing costs incurred by contract cleaners as a result of increased employment related legislation as these costs are generally passed on to the end user.
• Market Forecast 2009 - 2013: The UK market for contract cleaning is projected to increase throughout the forecast period, although annual levels of growth are expected to remain moderate between a marginal level and 3%. Between 2008 and 2013, the value of the contract cleaning market is anticipated to increase by a cumulative 7%, reaching £6148 million (at 2008 prices) in the latter year.