July 2026

More work, but not more certainty

2026 Market Conditions Report

Australia’s technical consulting market is showing signs of growth. However, persistent pipeline uncertainty, elevated risk, procurement delays and rising business costs continue to constrain confidence and investment decisions.

Consult Australia’s 2026 Market Conditions Report captures the views of 42 member businesses that employ more than 27,830 people. The findings offer a valuable view into the pressures shaping Australia’s technical consulting market.

Pipeline uncertainty is the industry’s biggest challenge, identified by 78% of surveyed businesses as the main factor affecting capacity and by 70% as the biggest challenge over the past year. Procurement delays were cited by 58% of respondents.

The number of sectors where businesses reported having “too much work” doubled from six in 2025 to 12 in 2026, led by residential, resources and industrial buildings, including data centres. At the same time, more than half of surveyed businesses still reported insufficient work in sectors including roads, rail and defence.

The report also found costs continue to outpace fees. Salaries and wages were among the fastest-rising costs for 78% of businesses, yet only 27% increased fees by more than the Consumer Price Index. As a result, 92% of businesses reported absorbing at least some of their increased costs rather than passing them on to clients.

Despite these pressures, workforce indicators have improved. More than two-thirds of surveyed businesses reported voluntary staff turnover below 10%. Four in 10 businesses surveyed had increased staff numbers.

Digital, data and artificial intelligence skills were identified as the largest emerging skills gap by 65% of respondents.

Just over half of businesses said they were optimistic about the year ahead, although confidence varied considerably by sector and jurisdiction. Defence, energy, water, rail and data centres are driving optimism, while residential and transport are more circumspect.

“This year’s report shows there are genuine opportunities emerging across the market, but uncertainty continues to make it difficult for businesses to plan, invest and grow,” says Consult Australia CEO Jonathan Cartledge.

“We will continue advocating for a more certain and better-sequenced infrastructure pipeline, procurement that rewards quality and long-term value, and policy settings that support investment in people and capability.”

Read the full 2026 Market Conditions Report.