Innovation in construction is a neglected but increasingly important topic. This project argues that competitiveness depends on the interaction between manufacturing, infrastructure services and the built environment. On the one hand, the rate of adoption of new technology in construction determines both the future competitiveness of this sector and the strength of the economy's productive structure. Consequently, this project will study the relation between the forms of industrial organisation and economic coordination in construction and their impact on its techno-economic performance. On the other hand, the 'peculiarities' of the construction sector impact upon its innovative activity. This may make it necessary to reconsider existing theories of innovation. This study will explore socioeconomic needs and technological opportunities for UK and, to a lesser extent, French construction, in the context of developments at the European level. Detailed analysis of UK construction will draw on the results of the Technology Foresight and case-study work.