Private sector
The ‘private sector’ is the section of the national economy that is run by private individuals and businesses, usually as a means of enterprise for profit. It is distinguished from the ‘public sector’ which is run and controlled by the state, and from the ‘voluntary sector’ which is run by charities and non-profit organisations.
Although states do not control the private sector, they do produce legislation that regulates their practices and operation, set standards they are expected meet and develop policies that affect the business environment.
In the UK, approximately three-quarters of construction output is private sector and a quarter is public sector.
There have been several policy initiatives designed to encourage private sector involvement in large-scale public projects, such as the now-abandoned Private finance initiative (PFI), and Public Private Partnerships (PPPs). PPPs were first developed in the 1990s in the belief that private sector companies might be more efficient at providing certain services than public authorities and so could deliver better value for money for taxpayers.
[edit] Related articles on Designing Buildings Wiki
- Build lease transfer BLT.
- Business models in construction.
- Complex project.
- Construction organisations and strategy.
- Corporate finance.
- Design construct manage finance DCMF.
- Private rented sector PRS.
- Project-based funding.
- Property development finance.
- Public body.
- Public sector.
- Types of construction organisations.
- UK construction industry.
Featured articles and news
Building Safety Regulator reforms
New roles, new staff and a new fast track service pave the way for a single construction regulator.
Cooling centres and cool spaces
Managing extreme heat in cities by directing the public to places for heat stress relief and water sources.
Winter gardens: A brief history and warm variations
Extending the season with glass in different forms and terms.
Restoring Great Yarmouth's Winter Gardens
Transforming one of the least sustainable constructions imaginable.
Construction Skills Mission Board launch sector drive
Newly formed government and industry collaboration set strategy for recruiting an additional 100,000 construction workers a year.
New Architects Code comes into effect in September 2025
ARB Architects Code of Conduct and Practice available with ongoing consultation regarding guidance.
Welsh Skills Body (Medr) launches ambitious plan
The new skills body brings together funding and regulation of tertiary education and research for the devolved nation.
Paul Gandy FCIOB announced as next CIOB President
Former Tilbury Douglas CEO takes helm.
UK Infrastructure: A 10 Year Strategy. In brief with reactions
With the National Infrastructure and Service Transformation Authority (NISTA).
Ebenezer Howard: inventor of the garden city. Book review.
The Grenfell Tower fire, eight years on
A time to pause and reflect as Dubai tower block fire reported just before anniversary.
Airtightness Topic Guide BSRIA TG 27/2025
Explaining the basics of airtightness, what it is, why it's important, when it's required and how it's carried out.
Construction contract awards hit lowest point of 2025
Plummeting for second consecutive month, intensifying concerns for housing and infrastructure goals.
Understanding Mental Health in the Built Environment 2025
Examining the state of mental health in construction, shedding light on levels of stress, anxiety and depression.
The benefits of engaging with insulation manufacturers
When considering ground floor constructions.
Lighting Industry endorses Blueprint for Electrification
The Lighting Industry Association fully supports the ECA Blueprint as a timely, urgent call to action.