Rental Growth Market Across Europe
The construction equipment rental industry is growing in both the European and UK markets. According to the European Rental Association Market Report 2023, among the reasons behind this growth are high machinery purchase prices and economic uncertainty, which are shifting demand away from ownership in favour of usership. The European rental market was expected to outperform the construction sector in 2025, with a forecasted 4.6% growth in turnover and total turnover of 31.891 billion euros.
In the UK, the rate of growth has been slowing in recent years. Residential construction projects have been affected by high mortgage rates and inflation squeezing household incomes. Meanwhile, non-residential construction has also declined amid economic uncertainty, high construction costs and long-term structural changes. A slowdown in office construction is also due to the shift towards remote and hybrid working, which has reduced demand for traditional office spaces. Nevertheless, industry sources claim that the technology and R&D sectors are driving demand for modern, high-spec sites to be built.
Responding to the Unique Demands of the UK Rental Market
Construction equipment hire in the UK is a more established and mature sector than its European neighbours. Its history dates to WW2, when the British Government controlled hiring rates and machinery purchases. The post-war years saw the formation of plant-hire companies that have been important to the construction industry ever since.
Recognising the unique characteristics of the UK rental market, HCM invested in a UK-specific business, Synergy Hire. According to the company, two of the main challenges faced by UK contractors are: the need to work productively and efficiently, with minimal downtime; and the need for flexibility, supported by a high level of service. Synergy Hire tackles these issues by offering new, well-maintained, hi-spec Hitachi machines. Their reliable performance is backed up by a premium standard of service and expertise, and the ability to react quickly to customer needs.
"The UK market is very demanding and fast paced. With time restraints, lack of site planning or foresight into site requirements, this often leads to last-minute orders for next-day deliveries."
– Garry Orr, COO of Synergy Hire and CPA Council Member
