Commercial and public buildings risk being left behind in the UK's transition to net zero despite more than £40bn of funding, investment and policy support being directed towards building decarbonisation, according to the latest Policy Pulse report from the Building Controls Industry Association (BCIA).

The new report highlights a wave of fresh funding commitments, regulatory reforms and performance standards designed to improve building efficiency and reduce carbon emissions. However, while significant support is being directed towards domestic retrofit and wider decarbonisation initiatives, BCIA is calling for greater clarity around the future policy framework for non-domestic buildings.

Across the policy developments examined in the report, a consistent theme emerges -greater emphasis on building performance, operational outcomes, electrification and data-driven decision making.

New regulations in Wales, the introduction of the UK Net Zero Carbon Buildings Standard and the forthcoming Future Buildings Standard all strengthen the role of intelligent building controls in delivering compliant, high-performing buildings. The report also highlights a growing shift towards performance-led funding models, creating opportunities for technologies capable of demonstrating measurable energy savings and ROI.

However, despite the positive direction of travel, BCIA says a critical policy gap remains for non-domestic buildings.

While the Warm Homes Plan sets out a long-term strategy for domestic decarbonisation backed by £15bn investment, no equivalent framework has yet been established for non-domestic buildings, despite their substantial contribution to UK energy use and emissions.

The association is urging policymakers to ensure commercial and public buildings are fully integrated into future decarbonisation strategies and funding mechanisms.

Jen Vickers, President of the Building Controls Industry Association, said:"The scale of investment and policy activity currently being directed towards decarbonisation demonstrates just how important buildings have become in the UK's net zero strategy.

"Across funding, regulation and performance standards, we are seeing a clear shift towards smarter, more efficient buildings that can demonstrate measurable outcomes. This creates significant opportunities for building controls, which play a critical role in reducing energy consumption, improving operational performance and supporting carbon reduction.

"If the UK is to achieve its decarbonisation ambitions, future policy frameworks must fully recognise the role of non-domestic buildings and the technologies, such as building controls, that can help unlock substantial energy and carbon savings."

The report highlights a strong growth outlook for the building controls sector in 2026, with regulation, rising energy costs and evolving funding models all expected to drive increased adoption. As policymakers place greater emphasis on building performance and operational outcomes, controls are becoming embedded as a core requirement.

At the same time, organisations are increasingly seeking technologies that can deliver measurable savings and a clear return on investment, positioning building controls as a key enabler of both commercial performance and net zero delivery. Rather than a specialist solution, controls are rapidly becoming essential infrastructure within the built environment.

View Policy Pulse here