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01/11/2016

Only 1% Of British Firms Report Rise In Infrastructure Work

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Only 1% of British civil contracting firms reported their infrastructure workloads increased during the third quarter of 2016.

New research by the Civil Engineering Contractors Association (CECA) revealed 4% of Scottish firms and 27% of Welsh firms stated their workloads had declined during the quarter.

While 22% of British firms expect new work orders to rise over the next 12 months, only 1% of respondents reporting a workloads increase is the lowest proportion since 2013 Q2.
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CECA Head of External Affairs, Marie-Claude Hemming, said reports that members' are continuing to see weak growth in their workloads is "disappointing".

"The infrastructure sector is a vital driver of growth in the UK economy. While recent Government decisions to commit to large infrastructure projects at Heathrow and Hinkley Point are welcome, it is clear that the last quarter has seen a lull in activity.

"However, it is heartening that on balance 22 per cent of British firms expect new work orders to be higher in the next twelve months. This could be the first signs of the green shoots of recovery in the sector.

"While it is important not to get carried away, it is clear CECA members have confidence in future trading conditions. Government and industry must work together to ensure these expectations are met without delay, so that the infrastructure sector can get back to doing what it does best - driving strong economic growth."

(LM)

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