Summary of Washroom Sector Report

Bidvest, the South African services giant and owner of phs Group, has acquired Citron Washrooms — a major UK washroom services company. This move consolidates two of the top three providers in the commercial washroom servicing sector in England.

Not sure this acquisition is good for you?
Read our offer to Citron customers from Anway.

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🔍 Why the Acquisition Happened:

• Strategic expansion: Citron gives Bidvest global reach (esp. North America) and strengthens its UK base.

• Synergies: Shared infrastructure, streamlined routes, and merged service operations with phs.

• Recurring revenue: Hygiene services offer steady income with long-term contracts and rising demand, particularly around sanitary bin servicing and sustainability.

🏢 Impact on the UK Market:

• Increased market concentration: phs now dominates the national market alongside Rentokil Initial.

• Reduced choice for multi-site clients: Fewer big providers may limit competition for large contracts.

• Regulators approved the merger, partly because Citron had already scaled back UK operations.

📊 Market Trends:

• Growing demand driven by hygiene awareness, legislation, and eco-conscious customers.

• Key growth areas: education, care homes, hospitality, FM outsourcing.

• Market size ~£500–600M in the UK, with steady year-on-year growth.

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Full article

Introduction and Industry Background

Bidvest Group (owner of phs Group) has acquired Citron Washrooms (Citron Hygiene), a major washroom hygiene services provider. This consolidation brings together two significant players in the commercial washroom servicing sector, especially within the UK. Phs Group is the leading provider of washroom services in the UK (serving ~60,000 customer sites) (Final report), and Citron (formerly Cannon Hygiene UK) has been a notable competitor with 10 UK branches and a broad client base (BVT – THE BIDVEST GROUP LIMITED – Voluntary announcement: Acquisition of Citron by Bidvest – 06/03/2025). The commercial washroom services sector – which includes the provision of sanitary waste disposal, washroom consumables (soap, tissue, etc.), air fresheners, hand dryers, and related maintenance for public and workplace washrooms – is a resilient, essential industry. In England (and the wider UK), this market is valued in the hundreds of millions of pounds annually, characterized by stable recurring revenues (over 90% of Citron’s revenue was recurring contracts) (BusinessLIVE) and steady growth driven by rising hygiene standards and regulations (BusinessLIVE).

This report examines why Bidvest acquired Citron, the impact on the competitive landscape in England’s washroom servicing industry, and potential opportunities for Anway Washrooms (a regional washroom services provider) in the wake of this merger. Key data on market size, trends, competitors, and growth segments in England are included to inform the analysis.

Strategic Rationale for Bidvest (phs) Acquiring Citron Washrooms

Bidvest’s acquisition of Citron Hygiene/Washrooms is rooted in clear strategic motivations:

• Expanding Market Presence and Portfolio: Bidvest has a stated intent to expand its international footprint in hygiene and facilities services (BusinessLIVE). Citron Hygiene perfectly fits this goal as a “market-leading company with a solid track record” in its niche (Citron Hygiene to be acquired by global services company Bidvest. | Citron Hygiene). Through Citron, Bidvest gains entry into North America (Citron is a leader in Canada and has a strong U.S. regional presence) while bolstering its UK portfolio. This move “adds to [Bidvest’s] hygiene services portfolio and [allows] entry into the North American market with an industry leader” (Citron Hygiene to be acquired by global services company Bidvest. | Citron Hygiene). In other words, Citron brings a transatlantic growth opportunity that complements phs’s UK strength.
• Synergies with phs Group (UK Operations): In the UK, Citron’s business will be combined with Bidvest’s phs Group, yielding significant synergies. Bidvest noted that Citron’s offering and geography “will be complementary to Bidvest’s [service division]…best practices can be shared, and infrastructure leveraged”, leading to an “improved and deepened overall service offering” (BusinessLIVE). Practically, this means phs and Citron can optimize route networks, consolidate service depots, and reduce overlapping costs (Bidvest explicitly sees “optimisation in the UK” as a benefit of the deal (BusinessLIVE)). Citron’s UK branches and client contracts will integrate with phs’s already extensive national service network, likely improving operational efficiency and coverage.
• Market Position and Customer Base: Citron brings a diverse customer base across manufacturing, hospitality, facilities management, education, commercial, and healthcare sectors (Bidvest secures UK competition authotities approval to buy Citron) (Bidvest secures UK competition authotities approval to buy Citron). Many of these clients are complementary to phs’s clientele. By acquiring Citron, phs/Bidvest removes a direct competitor and absorbs its customers, strengthening phs’s market-leading position in England. The combined entity will serve a larger share of multi-site national customers as well as regional accounts, reinforcing phs’s position as the go-to provider for washroom services. This scale can enhance Bidvest’s bargaining power with suppliers and allow new cross-selling opportunities (for example, offering Citron’s contracted menstrual hygiene product services to phs clients, and vice versa).
• Recurring Revenue and Growth Opportunities: The hygiene sector’s economics are attractive to Bidvest. Citron’s business model, like phs’s, yields recurring service revenue (contracts typically involve regular scheduled visits), ensuring steady cash flow (BusinessLIVE). Structural growth drivers in this industry – such as stricter hygiene regulations, higher expectations for workplace hygiene, population growth, and increasing awareness of “period dignity” (menstrual hygiene needs) – promise ongoing expansion (BusinessLIVE). Bidvest’s own announcement highlighted that hygiene services is a “resilient market with compelling unit economics” and cited period dignity awareness and new legislation (e.g. on free menstrual product provision in washrooms) as growth trends boosting demand (BusinessLIVE). By acquiring Citron, Bidvest positions itself to capitalize on these trends through an enlarged service range (e.g. Citron’s leading menstrual care solutions) and global reach.

In summary, Bidvest acquired Citron to strengthen its strategic position in hygiene services: gaining North American market entry, cementing phs’s dominance in the UK, and realizing cost and service synergies. Citron met Bidvest’s acquisition criteria with its market leadership in niche segments, experienced management, and high recurring income (BusinessLIVE) (BusinessLIVE). For phs in particular, the deal brings added scale and the elimination of a competitor, which together can improve profitability and service breadth in the UK washroom sector. As Bidvest stated, this acquisition “aligned seamlessly” with its expansion objectives in hygiene and facilities services (Bidvest secures UK competition authotities approval to buy Citron), and it expects the combined operation to drive innovation and growth in the sector (Bidvest secures UK competition authotities approval to buy Citron).

Impact on England’s Commercial Washroom Servicing Sector

Changes to the Competitive Landscape

The phs–Citron merger significantly alters the competitive landscape of washroom services in England by consolidating two of the largest players. Prior to the acquisition, phs Group was the clear market leader in UK washroom hygiene services (by both sales value and volume) (Final report), with an annual hygiene division turnover of £265.5 million in 2023 (Microsoft Word – PHS Bidco Ltd FY23 Consolidated (2).docx). Citron Hygiene (which had entered the UK by acquiring Cannon Hygiene’s UK business in 2019 (Competition concerns over washroom suppliers’ merger – GOV.UK)) was a prominent #3 player, operating 10 branches across the UK (BVT – THE BIDVEST GROUP LIMITED – Voluntary announcement: Acquisition of Citron by Bidvest – 06/03/2025) and servicing thousands of client sites. Rentokil Initial (via its “Initial” washroom services division) remains another major competitor, maintaining a national presence – although Rentokil’s attempt to grow via acquiring Cannon UK was blocked by regulators, resulting in Citron’s emergence (Competition concerns over washroom suppliers’ merger – GOV.UK). Beyond these, the market included a “long tail” of regional and local providers (dozens of small hygiene service companies operating in specific regions) (Full text decision ).

By acquiring Citron, phs (Bidvest) has effectively combined the first and third largest UK providers into one entity. This increases market concentration at the top end. Notably, in the segment of large multi-site (national) customers, the merged phs–Citron entity is estimated to control on the order of 60–70% of the service contracts by value (phs alone held well over half, and Citron contributed an additional ~5–10%) (Full text decision ). In other words, for nationwide accounts such as retail chains or banks with many locations, there are now very few choices – essentially phs (with Citron) or Rentokil Initial, followed by much smaller niche firms. The Competition and Markets Authority (CMA) did scrutinize this deal for potential substantial lessening of competition, which reflects how significant Citron was as an independent competitor (Bidvest (phs Group) / Citron Hygiene merger inquiry – GOV.UK) (Bidvest (phs Group) / Citron Hygiene merger inquiry – GOV.UK). Ultimately the CMA cleared the merger (March 2025) (Bidvest (phs Group) / Citron Hygiene merger inquiry – GOV.UK), influenced by the fact that Citron had already begun withdrawing from aggressive competition for national accounts in 2023 (it stopped bidding for new national contracts and shed a number of large clients) (Full text decision ) (Full text decision ). In essence, Citron’s competitive impact in that top segment was declining even before the acquisition, softening the merger’s effect on competition.

Still, the post-merger landscape in England is more concentrated. Phs will emerge even larger, and Rentokil Initial stands as the primary alternative for comparable scale and coverage. Table 1 summarizes the new market structure:

Competitive dynamics: With one less independent large player, phs and Rentokil together now account for the majority of the market, especially for large organizations. This could tilt the competitive balance: phs’s market power increases, potentially giving it more pricing power or leverage in contract negotiations. Rentokil Initial may benefit in the short term if some customers wary of the merger seek a second supplier; however, overall the two giants face less pressure from mid-tier rivals. Smaller regional companies remain plentiful (the CMA noted “many local and regional suppliers” in every area) (Full text decision ), which ensures that competition at the local level stays relatively vibrant – small businesses and single-site clients can still shop around among various independent providers. However, those smaller firms typically cannot service nationwide contracts, meaning large multi-site clients now have a more limited pool of suppliers.

One immediate impact is that Citron’s UK operations will likely be folded into phs’s structure. In time, the Citron brand may be phased out in England as phs consolidates the business (the current plan was to keep Citron’s management team in place under Bidvest, so service continuity is maintained in the near term (Citron Hygiene to be acquired by global services company Bidvest. | Citron Hygiene)). Customers may see some rebranding or changes in account management down the line. The combined entity may also restructure its depot network for efficiency – for instance, if phs and Citron had overlapping service centers in the same region, those might be merged. Such internal optimizations (foreseen by Bidvest (BusinessLIVE)) could improve the new phs’s profit margins and consistency of service.

Market Concentration and Regulatory Considerations

The merger underscores a trend of industry consolidation. Over the past few years, large firms have grown by acquisition in this sector. (Phs itself has acquired several smaller hygiene companies recently, such as Mayflower Hygiene Supplies in London (Microsoft Word – PHS Bidco Ltd FY23 Consolidated (2).docx) and others, while Citron grew by buying Cannon’s UK business.) Each such deal raised the question of market concentration. In fact, when Rentokil attempted to merge with Cannon, the CMA voiced concerns that reduced competition could lead to higher prices or lower service quality for customers (Competition concerns over washroom suppliers’ merger – GOV.UK). That transaction proceeded only with the remedy of divesting Cannon’s UK contracts to Citron (Competition concerns over washroom suppliers’ merger – GOV.UK). In the present case (phs–Citron), regulators ultimately concluded that competition would remain adequate – partly because Citron was a shrinking competitor and partly because of the presence of Rentokil and many niche players acting as a check on phs (Full text decision ) (Full text decision ). The CMA’s clearance suggests it does not expect a substantial lessening of competition nationally (Full text decision ) (Bidvest (phs Group) / Citron Hygiene merger inquiry – GOV.UK). Nonetheless, the market is now structurally more concentrated at the top.

For customers, this consolidation could have mixed implications. On one hand, a bigger phs might achieve economies of scale that could be passed on in the form of reliable service or innovative offerings. Bidvest has indicated the deal will “enhance [phs’s] service offerings” by integrating Citron’s expertise (Bidvest secures UK competition authotities approval to buy Citron) – possibly meaning broader product choices (e.g. Citron’s washroom vending and infant care lines complementing phs’s portfolio). On the other hand, with reduced competition, price pressures may ease for the suppliers. Large clients that used to play phs and Citron off each other may have less negotiating leverage now. It would not be surprising if industry price levels for long-term contracts firm up or increase modestly over time due to the diminished rivalry. Similarly, service differentiation might suffer if one dominant provider faces fewer challengers – customers could worry about complacency in service standards. These are precisely the kinds of concerns (pricing, service quality) that regulators highlighted in prior consolidation cases (Competition concerns over washroom suppliers’ merger – GOV.UK).

However, it’s important to note that countervailing factors exist: Rentokil Initial remains an aggressive competitor in the UK market and could seize the opportunity to win over any disaffected Citron customers. Also, the plethora of smaller companies means that for non-complex needs, customers can switch to a local provider relatively easily if prices from the big firms become untenable. Barriers to entry in local segments are not extremely high – a new regional firm can start with a few vans and waste-disposal licenses – so the “long tail” of competitors will continue to discipline the market at the lower end (Full text decision ) (Full text decision ). In the national segment, though, entry is harder (it requires a depot network and logistics across the country). Thus, going forward we likely see phs and Rentokil Initial in a duopoly for large nationwide contracts in England, while a fragmented competitive field persists for small and medium clients. Overall market concentration has increased, and all eyes will be on phs to see if it leverages its new dominance responsibly or not.

Pricing and Service Model Implications

With the acquisition complete, pricing strategies in the sector could adjust. When competition was fiercer, both phs and Citron had to offer competitive pricing and flexible terms, especially to win multi-site corporate accounts. Now, phs inherits Citron’s contracts and client relationships, potentially giving it more freedom in setting prices upon renewal. Any immediate price changes are unlikely (contracts will run their course), but over time phs might attempt price harmonization. If phs raises fees, some clients could push back or explore alternatives (Rentokil or regional suppliers), so phs will weigh price increases against risk of client loss. The CMA evidently judged that phs would not be able to impose unreasonable price hikes without losing business to others (Full text decision ) (Full text decision ). Still, the reduced number of national suppliers means customers have less choice, which tends to tilt pricing power toward the supplier. We may also see bundled service offerings as a model: phs can bundle washroom services with its other facility services (like floor mat rental, waste management, etc.), offering “one-stop” contracts that competitors might struggle to match in breadth. This could lock in customers but also deliver convenience and possibly cost savings to those who use multiple services.

In terms of the service model, large providers like phs will continue to emphasize scheduled route-based servicing (e.g. monthly or biweekly visits to replace consumables and empty sanitary bins) (Full text decision ). One potential positive from the merger is improved efficiency on those routes – a combined fleet can be optimized so that, for example, a single driver visit replaces what were two separate phs and Citron visits to nearby sites. Improved density can enhance reliability and perhaps reduce the carbon footprint (fewer duplicate trips). Bidvest specifically mentioned gains in operational efficiency by integrating Citron’s infrastructure (Bidvest secures UK competition authotities approval to buy Citron). Customers might experience even more consistent servicing as a result. Additionally, phs could incorporate some of Citron’s innovations into its service model: Citron has been active in promoting new hygiene solutions (such as no-touch sanitary bins, smart washroom monitors, or free-vend menstrual product dispensers in washrooms). The merged company could roll these out more widely, accelerating innovation adoption in the market.

Another implication is the standardization of service quality. With phs growing larger, industry standards might be increasingly set by phs’s practices (since smaller players often emulate the market leader). If phs pushes higher standards – say, new compliance protocols, greener waste disposal methods, or digital client portals – those could become de facto norms, improving the overall service level in the industry. Conversely, if consolidation led to any relaxation in competitive drive, service enhancements might slow down. Thus far, however, the hygiene sector has been dynamic, with trends like touchless fixtures and sustainability gaining momentum due to customer demand as much as competition.

In summary, the acquisition will likely lead to a more consolidated and potentially more efficient market in England, with phs Group as an even more dominant force. Competition is reduced at the top end, which could influence pricing and require vigilance to maintain service quality. Yet, ongoing presence of other players and informed customers should ensure the sector continues to evolve and cater to client needs. The next section explores how a smaller firm like Anway Washrooms can find opportunities amid these changes.

Opportunities for Anway Washrooms in the Post-Acquisition Landscape

For independent and regional providers such as Anway Washrooms, the phs–Citron consolidation presents several potential opportunities. While large mergers often raise concerns for smaller competitors, they can also create market gaps and shifts that nimble companies can exploit. Below are key opportunities Anway Washrooms could consider:

• Gaps Left by Consolidation – “Big vs. Small” Market Segments: When two giants merge, they often focus on their largest and most profitable accounts to maximize returns. This can leave a gap in attention toward smaller customers or out-of-the-way regions. Anway Washrooms can capitalize by targeting clients who may feel underserved or overlooked by the now-even-larger phs. For instance, small businesses, local schools, clinics, or independent hospitality venues in England might prefer a more personalized service than a big corporation provides. These clients could be nervous that as phs grows, their service might become less personal or their prices might increase. Anway can actively market itself as a customer-centric alternative – highlighting responsive local service, flexibility in scheduling, and tailor-made solutions. With Citron gone, some regional accounts may actively seek an independent provider to avoid being locked into the phs empire. Any Citron customers in Anway’s area (e.g. Yorkshire/Derbyshire) who receive notice of integration might be open to switching, providing a window to win new contracts.
• Customer Preference Shifts and Loyalty: Mergers sometimes cause customers to reevaluate their loyalties. Some Citron Washrooms clients chose Citron precisely because it wasn’t phs or Rentokil (perhaps valuing a third-party option or specific relationship). Now those customers will be transferred under phs’s umbrella. If even a fraction of them prefer not to be serviced by the market leader, they will look for alternatives. Anway can position itself to capture any disaffected customers by emphasizing continuity and independence. Additionally, in the wake of consolidation, customers often worry about price increases or changes in terms – a savvy regional firm can approach businesses with a message of “we’ll keep your costs predictable and service high-quality, as a locally trusted partner.” In essence, client relationship management becomes a key opportunity: by offering stability and attentiveness during a period of industry change, Anway could peel away clients who are uneasy with the merger. A proactive outreach or marketing campaign in the coming months could leverage this sentiment.
• Differentiation through Niche Services and Innovation: Large companies must standardize services to manage scale, which can make them less flexible in niche offerings. Anway Washrooms can differentiate by innovating or specializing in areas the big firms might not prioritize. For example, the rising emphasis on sustainable and eco-friendly washroom solutions is a space to stand out. Anway could offer greener alternatives – such as biodegradable sanitary waste bag liners, eco-certified cleaning products, or even trial programs for water-saving urinal systems – appealing to customers with sustainability goals. Similarly, period dignity and menstrual hygiene is a growing segment: laws and initiatives are pushing for free menstrual product availability in many public washrooms (Scotland has mandated it, and England has programs in schools). Anway could introduce modern menstrual product dispensers or partner with social enterprises to supply free-vend tampon/pad machines, positioning itself as a leader in this socially important arena. While phs and Citron certainly have offerings here, a smaller firm can market itself as more agile and committed on such initiatives, perhaps piloting new solutions faster. Embracing tech innovations is another angle – for instance, installing smart sensors in washrooms that alert when supplies are low or when footfall is high (to adjust cleaning frequency). If Anway can package IoT-driven washroom monitoring for clients, it would set itself apart from traditional route-schedules. These differentiators can attract customers who are looking for cutting-edge service or specific value-added features rather than just lowest cost.
• Competitive Pricing and Contract Flexibility: Post-merger, if the major players do raise prices or enforce longer contracts, Anway can exploit this by offering more attractive terms. A family-owned or local business might prefer a shorter, flexible contract or a pay-per-service model, which large corporations typically avoid. By being more accommodating (monthly roll-over contracts, easy cancellation, customized service frequencies), Anway could lure customers who dislike the rigid 3-5 year contracts common with big firms. Moreover, Anway likely has lower overhead, so it may compete on price for basic services in its region. While it cannot match the geographic reach of phs, within its service area it can ensure its pricing for standard services (like sanitary bin collections or soap refills) undercuts the big providers. Value-based pricing coupled with personalized service can be a persuasive proposition for cost-conscious local clients, especially if they anticipate phs’s prices to creep up.
• Collaborative Opportunities and Expansion: The changing market might also spur collaboration among smaller players. With one less mid-sized competitor, independent providers could band together in informal networks to serve multi-region customers. For example, Anway Washrooms might form a partnership with similar independent hygiene companies in other parts of England to collectively bid on contracts that are regional (but not national). This way, they can present themselves as a coordinated alternative to phs for clients with, say, a dozen sites across different counties. The consolidation might motivate facilities management companies or procurement groups to consider such multi-supplier strategies if they want to avoid sole dependence on phs. Anway could leverage this by building alliances and demonstrating an ability to provide seamless service coverage through those alliances. Additionally, if phs decides to shed any non-core accounts or if the CMA required divestment of certain local contracts (often small customers on the periphery), Anway could try to acquire those accounts or hire laid-off staff. In fact, industry consolidation sometimes leads to experienced technicians or salespeople becoming available – Anway can recruit talent from Citron/phs who prefer a smaller company culture, which in turn can help it grow.
• Focus on Service Quality and Reputation: Lastly, with the giants occupied integrating their businesses, a company like Anway can double down on its reputation for quality. In a service industry, word-of-mouth and trust are powerful. Any hiccups during the phs-Citron integration (e.g. missed service visits or customer service delays) might frustrate clients. Anway should ensure its existing service standards are excellent and perhaps highlight local testimonials. By being the reliable, friendly, “right-sized” provider, it can fortify loyalty among its own customers and attract new ones who feel that bigger isn’t always better. In particular, sectors like hospitality and high-end offices often value consistency and discretion – Anway’s stable team and local ownership could be a selling point compared to a rotating cast from a large corporation.

In summary, Anway Washrooms has multiple avenues to thrive despite the market’s consolidation. By targeting gaps left by the big players (smaller clients, personalized service needs), embracing emerging trends (sustainability, menstrual hygiene solutions, smart washroom tech), and maintaining competitive pricing and flexibility, a regional provider can not only defend its market position but expand it. The consolidation of major competitors can drive some customers to seek alternatives, and by sharpening its unique value proposition, Anway can convert that disruption into growth. The overall hygiene market in England is still growing and evolving – with drivers like higher hygiene awareness post-COVID, new regulations, and the evergreen need for clean facilities – so there is ample room for differentiated, innovative players alongside the industry giants (BusinessLIVE). By staying agile and customer-focused, Anway Washrooms can turn the Bidvest-phs-Citron merger into an opportunity to capture greater market share in its chosen segments.

Market Size, Trends, and Growth Segments in England

To put the above analysis in context, it’s useful to highlight some data and trends about the commercial washroom servicing sector in England:

• Market Size & Growth: The UK washroom services market is substantial – phs Group’s hygiene division alone generated £265.5 million in revenue in 2023 (Microsoft Word – PHS Bidco Ltd FY23 Consolidated (2).docx), and it accounts for roughly half of the market by many estimates. This suggests the total market value is on the order of £500–600+ million annually (including all providers). The sector has been growing in recent years; for example, phs reported an 11.9% increase in hygiene revenue in 2023 (Microsoft Word – PHS Bidco Ltd FY23 Consolidated (2).docx). Part of this growth is post-pandemic recovery (as offices, schools, and venues reopened needing services) and part is underlying demand growth. The industry proved resilient even during economic downturns because washroom services are often non-discretionary (businesses must maintain basic hygiene facilities by law). Bidvest noted the “resilient” nature of this market and “structural growth drivers” that will continue to expand it (BusinessLIVE). A growth rate in the mid-single digits (%) per year is expected, with potential upticks from new regulations.
• Key Competitors: As summarized, the key national competitors are phs Group (now with Citron) and Rentokil Initial, with phs holding the #1 position in market share (Final report). Citron Hygiene was a notable competitor now merged into phs. Other competitors include Marlowe plc (a services conglomerate that has acquired some compliance and facilities services firms, though its direct presence in washroom hygiene is limited) and a multitude of independent regional firms (such as Cathedral Hygiene, Simply Washrooms, Focus Washrooms, and Anway Washrooms itself). Prior to acquisition, Citron served ~50,000 customer locations globally (across UK, US, Canada) (Bidvest secures UK competition authotities approval to buy Citron) – indicating a large book of business now absorbed by phs. Rentokil Initial’s hygiene division is part of a global business with nearly £866 million worldwide revenue in 2023 ([PDF] Rentokil Initial Annual Report 2023) (covering many countries; UK is a portion of that). The competitive landscape is thus a mix of a few large firms with international backing and many small players with local focus. Table 1 above provides an overview of the major players in England and their roles.
• Market Trends: Several important trends are shaping the industry:
  • Heightened Hygiene Awareness: In the wake of COVID-19, businesses and the public are more attuned to cleanliness and hygiene. There is higher demand for regular cleaning, sanitizer dispensers, and well-stocked washrooms. This keeps pressure on service providers to maintain high standards and perhaps offer additional services (like surface sanitization or air purification in washrooms).
  • Menstrual Hygiene and “Period Dignity”: As mentioned, there’s a growing movement to ensure menstrual products are available in workplace and public washrooms and to improve the disposal and servicing of feminine hygiene units. Citron Hygiene specifically cited “significant growth in awareness of period dignity and menstrual equity” as a market driver (Citron Hygiene to be acquired by global services company Bidvest. | Citron Hygiene). In England, while not yet law across all sectors, there are strong trends (especially in education and corporate CSR policies) to provide free sanitary products. This creates a growth segment for service companies to supply and service vending units or free dispensers, and manage the increased sanitary waste. Both large and small firms are expanding offerings here.
  • Sustainability Requirements: Clients increasingly prefer environmentally sustainable solutions. This includes use of recycled paper products, eco-friendly soaps, energy-efficient hand dryers (to replace paper towels), and proper waste treatment. Companies that can demonstrate greener operations (such as phs’s initiative to recycle hygiene waste into energy, or using electric vehicles for service routes) have a competitive edge. This trend pushes all providers to innovate in reducing the environmental footprint of washroom services.
  • Digitalization and Smart Facilities: The adoption of technology is gradually picking up. Some providers use digital portals for clients to track service visits and compliance documents. There’s also interest in smart washroom tech – sensors that detect foot traffic or fill levels (e.g. in soap dispensers or bin capacity) and trigger service requests dynamically. While not yet mainstream, this is an emerging segment that could grow, as it optimizes resource use and ensures no washroom is out-of-stock. Larger companies are piloting such systems, but smaller tech startups might also drive this trend.
  • Consolidation and Integrated Services: The ongoing consolidation (phs-Citron now, earlier Rentokil-Cannon globally) is itself a trend, leading to a few companies offering integrated packages. Many hygiene service providers also offer related services like healthcare waste disposal, floor mat rental, pest control, or even cleaning consumables supply. Clients often prefer bundling these to deal with fewer vendors. This has led firms to broaden their portfolio – for instance, phs Group not only handles washrooms but also clinical waste, mats, and even plants. This trend benefits large providers but also opens niches for specialists (a small firm might partner to offer a bundle).
  • Regulatory Compliance: England has regulations requiring proper disposal of sanitary waste (e.g. the Workplace Regulations and Water Industries Act for what can/can’t be flushed, etc.), and stringent waste carriage and disposal rules. Compliance needs are increasing (for example, more categories of hygiene waste might be classified under controlled waste). Providers that ensure clients remain compliant (through reliable pickup and documentation) are in demand. This baseline keeps the market steady, and any new regulations (like stricter recycling or mandatory service frequency in certain settings) could expand service needs.
• Growth Segments: Within the English market, certain segments are seeing above-average growth:
  • Healthcare and Care Homes: These facilities have high needs for hygiene services (including sanitary and nappy waste). As the population ages and healthcare investment grows, servicing of care homes, clinics, and hospitals is a robust segment. Specialist hygiene (e.g. disposal of adult incontinence products) is growing.
  • Education Sector: Schools, colleges, and universities are focusing more on student welfare – adding sanitary product programs, better washrooms, etc. Many schools now contract hygiene services rather than handling in-house, creating opportunities.
  • Hospitality and Leisure: Hotels, restaurants, and entertainment venues are keen to entice back customers with clean, pleasant facilities. Premium washroom services (scenting, frequent cleaning, luxury consumables) can differentiate these businesses. This drives demand for high-quality service providers in this segment.
  • Facilities Management (FM) Companies: Many organizations outsource facilities management wholesale. FM companies then subcontract washroom services. This segment grows as more outsourcing occurs, and it often consolidates demand (an FM firm might hire one hygiene provider for dozens of sites). For a company like Anway, building relationships with FM contractors in its region could yield steady growth.
  • Geographic Hotspots: While overall England has demand, fast-growing areas (London, the South East, and also regional hubs like Manchester, Birmingham, Leeds) see more new businesses and buildings – hence new washroom contracts. Also, as infrastructure projects (like new transport hubs) come online, they add to the addressable market for hygiene services.

In conclusion, the commercial washroom servicing sector in England remains a vital and evolving market. Bidvest’s acquisition of Citron via phs is a transformative event that will shape the competitive environment, likely consolidating much of the market under two large players. However, strong underlying growth drivers and the continued presence of many niche competitors mean the sector will stay competitive and innovative. For a smaller player like Anway Washrooms, industry shifts create openings to fill niche demands and attract customers seeking alternatives. By understanding the strategic landscape and leveraging its strengths, Anway (and similar firms) can find pathways to expansion even as giants grow larger. The emphasis on hygiene in society is only increasing, so all players who can deliver value – whether through scale or specialization – are poised to benefit from these industry trends (BusinessLIVE).

Sources:

1. Bidvest Group (phs) – Acquisition of Citron Hygiene Press Release (July 2024) (Citron Hygiene to be acquired by global services company Bidvest. | Citron Hygiene) (BusinessLIVE).
2. Citron Hygiene – Official Announcement and FAQ on Acquisition (Citron Hygiene to be acquired by global services company Bidvest. | Citron Hygiene) (Citron Hygiene to be acquired by global services company Bidvest. | Citron Hygiene).
3. Competition & Markets Authority (UK) – Merger Inquiry: Bidvest (phs) and Citron Hygiene (2024–25) (Full text decision ) (Full text decision ).
4. Competition & Markets Authority – Rentokil Initial / Cannon Hygiene Merger Findings (2019) (Final report) (Competition concerns over washroom suppliers’ merger – GOV.UK).
5. IOL Business Report – “Bidvest secures UK competition authority approval to buy Citron” (Mar 2025) (Bidvest secures UK competition authotities approval to buy Citron) (Bidvest secures UK competition authotities approval to buy Citron).
6. phs Group Annual Report 2023 – Hygiene Division Performance (Microsoft Word – PHS Bidco Ltd FY23 Consolidated (2).docx).
7. Industry Analysis – Market structure and competitor information (Full text decision ) (Full text decision ).
8. Citron Hygiene / Birch Hill – Company background and service offerings (BVT – THE BIDVEST GROUP LIMITED – Voluntary announcement: Acquisition of Citron by Bidvest – 06/03/2025) (Bidvest secures UK competition authotities approval to buy Citron).