New year, new technology? - Insights and predictions for the built environment sector

As we enter 2025, we say goodbye to 2024 - a year of excitement and transformation in the built environment sector.

At the close of 2024, we reflected on the key trends of the year, and many of these will continue to evolve and shape our industry in 2025, particularly the growing influence of AI and technology.

This year, technology will be at the forefront, driving innovation and sparking crucial conversations that will shape every aspect of the built environment.

With the UK government’s ambitious carbon reduction targets and the accelerating pace of digitalisation, we also expect shifts in how buildings are designed, constructed, and operated. For example, there will be a greater emphasis on creating greener buildings, with stricter green building standards and a push to retrofit existing structures to improve energy efficiency and environmental sustainability.

We predict a year with high ambitions and a strong focus on technology, sustainability, and social impact. Keep reading, as we dive into five key trends that will shape the built environment in 2025.

1. Sustainability and net zero goals

The UK Green Building Council (UKGBC) reports that the built environment is responsible for around 25% of the UK's carbon emissions, making it one of the biggest contributors to environmental impact. This is a significant number, and as the push for sustainability intensifies, it is clear that this issue will remain in the spotlight in 2025.

Sustainability is at the heart of the UK’s built environment strategy, strongly focusing on achieving net-zero carbon emissions. The UK government’s ambitious target to reach net zero by 2050 will drive innovation and transform the way we build and renovate our spaces. We can expect to see more energy-efficient buildings and retrofitting of older properties with eco-friendly solutions.

The integration of smart technologies will also be crucial in reducing energy consumption and improving efficiency and the use of eco-friendly materials such as recycled aggregates, low-carbon concrete, and biodegradable products.

2. Rise of smart cities

The future of urban living is becoming more digital every day, transforming the way we live, work, and interact with our cities. Thanks to advancements in technology like the Internet of Things (IoT), artificial intelligence (AI), and data analytics, smart cities are no longer just a concept - they are becoming a reality.

One of the most exciting developments in urban planning is the rise of digital twins. These are virtual replicas of cities, constantly updated with real-time data, including weather patterns and demographic information. Digital twins enable cities to operate more efficiently, make data-driven decisions, and plan for a more sustainable future.

Urban mobility is also set for a transformation, with electric vehicles playing a key role in shaping the future of transportation. As cities become more connected, data will guide every aspect of urban development, from the design of streets to the management of resources.

The rollout of 5G networks will further accelerate the growth of smart cities. With faster and more reliable data networks, 5G will enhance communication between devices, improving everything from traffic management to emergency response times.

As we look ahead, we are excited to see how these technologies will shape our cities. However, we also recognise that there will be important discussions about how much we should rely on technology. The key will be finding the balance and using these innovations in the most effective and thoughtful way.

3. Social impact and community engagement

How do we improve the quality of places for people? How do we make it accessible for the people who live there?

In 2024, people and communities were at the forefront of urban development, and we expect this focus will continue into 2025. Diversity and inclusion will remain a key focus, and there will be discussions around well-being and sustainability.

AI and technology will also play a role in how we engage with communities and gather valuable data. As highlighted in our previous blog focusing on AI and community engagement, AI can be an essential tool for inclusivity, allowing planners to analyse large volumes of qualitative data, such as community feedback to better understand residents’ needs.

We are excited to see how AI evolves in 2025 and if embracing new technologies will improve the way we engage with communities and make our places more inclusive and healthy to live in.

4. Authentic, transparent, and meaningful content

This year, branding and social media will shift towards quality over quantity. Instead of focusing on the volume of posts, audiences will seek more captivating storytelling and visually appealing content. Authenticity will be key, with people expecting transparency and real connections. The use of AI auto-generated comments to generate engagement on social media posts will generally be frowned upon. You have been warned.

We have highlighted three key trends we expect to see:

Authenticity and Transparency
Amid the rise of fake news and AI-generated content, audiences will crave genuine, high-quality content. Platforms like Bluesky, with their focus on openness and user control, will embody this new, authentic approach to online networking.

Short-form video will continue to dominate
Short-form videos will remain popular, continuing to be an effective way to engage audiences with quick, impactful content.

Interactive and Immersive Content
With a strong focus on technology, VR and AR will be used more extensively to showcase building designs, architectural plans, and completed projects. These technologies will also play a vital role in engaging communities, creating interactive content that helps build meaningful connections.

5. Data-driven storytelling for people and place

AI and technology will continue to play a key role in connecting with communities by using data to ensure that places are being designed to meet their needs. These tools can also help us get to know our audiences better and craft inclusive place stories that resonate with people.

If we look at predictions from City Nation Place, the rising focus on ESG (Environmental, Social & Governance) principles is already influencing developments worldwide, becoming a key driver of growth. The increasing investment in ESG-focused projects highlights its essential role in shaping how we approach and perceive place branding and storytelling.

Place branding will embrace more inclusive and representative storytelling, celebrating diverse histories and actively engaging communities to capture a truly authentic portrayal of places.

The year of technology

From green building practices and the rise of smart cities to authenticity and place branding, 2025 promises to be a year where these key themes intersect in exciting ways.

As AI becomes more integrated into our environments, important questions around trust and transparency arise. With technology shaping the future, discussions about maintaining authenticity are inevitable. However, we are excited to see how technology can work hand-in-hand with authenticity to create more inclusive places. The future of the built environment is full of possibilities, and we cannot wait to explore how these trends will evolve.

2025 will be a transformative year in the built environment sector, and we are committed to bringing you the latest insights on relevant topics. In January 2025, we are launching our own podcast, where industry experts will discuss key issues such as health, finance, affordable housing, placemaking, and more. Be sure to tune in for the latest discussions and trends in placemaking and place storytelling.

If you are looking to create authentic content that resonates with your audience and builds a stronger and closer connection with them, get in touch today. Our team of experts is ready to help your brand navigate the trends and expectations of 2025.