Is this a turning point in working with construction and installation service providers?

Anyone who has undertaken a construction or installation project in recent years experienced not only sharp increases in labour rates and material costs, but very often also a completely neglecting attitude from some of the contractors. Demand was so strong that even businesses with little regard to quality, deadlines or even basic respect towards their clients were thriving. A “take it or leave it” approach to offers was pretty common. Do the latest figures suggest that the long-awaited restoration of some balance to this market is finally approaching?

PRODUCTION IN CONSTRUCTION

According to the latest data from Statistics Poland (GUS), production in construction in Poland fell by 9% year on year in September 2026 (after adjusting for price changes). Declines were recorded across all three construction divisions, with the steepest fall in the construction of buildings.

Division	September 2026 YoY	January–September 2026 YoY
Total construction	−9.0%	−4.7%
Construction of buildings	−19.2%	−8.1%
Civil engineering	−4.1%	−2.5%
Specialised construction activities	−6.1%	−4.2%

Renovation works had the greatest impact on the overall result:

Type of work	September 2026 YoY	January–September 2026 YoY
Renovation work	−25.2%	−28.3%
Investment work	−2.2%	+5.7%

Source: Statistics Poland (GUS), Construction and assembly production in September 2026.

As many as 32% of the surveyed enterprises report a lower value of production in construction.

Share of companies reporting a lower value of production in construction than a year before

Division	Share of surveyed companies
Total construction	32%
Construction of buildings	34%
Civil engineering	39%
Specialised construction activities	23%

Source: Statistics Poland (GUS), Construction and assembly production in September 2026.

DEMAND FALLS, PRICES RISE

It is also worth to mention that the decline in construction and assembly demand has been accompanied by a continuous rise in prices – well above the rate of inflation. In each of the last 12 months analysed, prices were higher than a year earlier, with the year-on-year increase reaching another 6.9% in September.

Construction output price index versus CPI inflation in Poland, September 2025 to September 2026 — Chart 1

A TURNING POINT?

Perhaps we are witnessing a turning point in the construction and assembly services market. Demand is beginning to weaken, while prices remain at record-high levels. The balance of power between contractors and their customers may be about to shift.

Reliable companies that have consistently fulfilled their contractual obligations and, even during favourable market conditions, have not forgotten the importance of customer relationships may not even feel the impact of the coming changes.

However, many companies that, during the prosperous years, somehow forgot that the favourable market conditions do not last forever may learn the hard way that even the best market can never replace customer trust in the long run.