Umbrella Company employees contracting in the UK’s construction sector have seen work opportunities multiply over the last year as the sector surges toward pre-downturn levels of output, a new study reveals.
The results of a new survey from the Construction Products Association reveals a 6% year-on-year increase in output during Q3, with the majority of construction firms participating in the poll reporting significant growth.
Both private commercial and private residential sectors saw substantial year-on-year improvements, with net balances standing at +41% and +35% respectively. Just 11% of the building contractors surveyed reported a fall in margins between the second and third quarters of 2014. The figures represent a radical turnaround for an industry that was soundly hammered when the recession imploded in 2008.
The economics director at the Constriction Products Association, Dr Noble Francis, said: “Construction firms also reported rises in forward-looking indicators such as orders and enquiries, which clearly indicate that activity will rise throughout 2015.”
Research by KPMG earlier this month, however, suggested that the industry could soon face a skills shortage, which is a development that has the potential to undermine growth in construction in the longer term. It could also boost the prospects of independent contractors, however, who invariably see demand for their services rising when skills shortages become evident.
Stephen Ratcliffe, director of the UK Contractors Group, said: “These figures are encouraging, especially since growth is now apparent in all sectors of construction. They are in line with ONS data and paint a better picture than earlier this year.”