New regional analysis of the independent built environment consultancy’s national tender price forecasts states that local authorities, developers and contractors need clarity on future funding streams.

One key commitment awaiting final confirmation is the £4.9 billion affordable housebuilding programme, spread over four years, which remains central to Scotland’s long-term housing strategy and to the workloads of many public- and private-sector construction firms.

Martin McConnell, a partner in RLB’s Edinburgh office, said: “The Budget gives Scotland promising momentum with the construction sector set to benefit from targeted regeneration funding and greater fiscal clarity.

“But without clearer pathways for delivering major infrastructure, Scotland risks slowing its own potential. Greater certainty in these areas would give investors and contractors the confidence needed to drive long-term growth.”

The report pulled out two standout wins. Firstly, Kirkcaldy is to receive £20 million from the Growth Mission Fund to accelerate high street revitalisation and seafront improvements, supporting several schemes already underway and helping to “supercharge” local development momentum.

The second was Inchgreen Marine Park on the Clyde which will also benefit from £20m of new investment, enabling the redevelopment of the historic dry dock and supporting ambitions to attract new businesses, skilled jobs and further Ministry of Defence activity.

RLB’s CMI shows no movement in Scottish tender price inflation:

• Forecasts for 2025 have remained the same at 3%
• Forecasts for 2026 have remained the same at 3.5% 

Across the UK, near-term market conditions remain challenging as rising input costs, including higher wage rates, continue to place pressure on contractors and outpace tender price movements.

RLB’s CMI shows only marginal movements in UK tender price inflation:

• Forecasts for 2025 have seen a slight uplift from 3.03% to 3.17%
• Forecasts for 2026 have eased marginally from 3.41% to 3.27%.