To read the report, visit nacsba.org.uk/policy/ csb-report-2023-24/ News
CONSTRUCTION INDUSTRY NEWS
Boost in builders’ output
M aster builders have reported stability in the building industry, with workloads up by seven per cent and enquiries up by three per cent in the three months April to June this year. The figures come from the FMB’s latest State of Trade Survey Q2 2024 . Brian Berry, Chief Executive of the FMB, said the results showed continued stability but noted “substantial room for improvement”. While increasing workloads are a positive sign industry is growing, Berry said: “It’s worrying to see a significant rise in the number of businesses reporting lower than expected profits this quarter – 55 per cent, up from 44 per cent in Q1
Key stats from the State of Trade Survey for Q2 2024 :
2024 – which shows the challenges the UK continues to face. “The new government has used its early weeks in office to announce promising plans to boost housebuilding rates and reform the planning system, which may result in a much-needed economic stimulus. However, the UK is currently experiencing a construction skills crisis, and concerns remain about viability without the workforce in place to deliver new homes.” Berry concluded: “The Prime Minister’s speech laying the groundwork for Skills England was hopeful but lacked detail. We need to see a long-term skills plan to deliver the government’s ambitions for growth.”
Market conditions
7% net increase in workloads
3% increase in reported enquiries
-2% net change in employment improvements
Skills
43% report a
54% report no changes in employment levels in Q2 2024 compared with Q1 41% struggle to hire carpenters (up from 31% in Q1)
shortage of skilled tradespeople resulting in job delays (up from 36% in Q1) 8% report cancellations (down from 9% in Q1)
29% struggle to hire bricklayers (up from 25% in Q1)
Prices and costs
64% report a rise in material costs (down from 69% in Q1)
52% report their business is on track to make a loss or fall below expected margins, (up from 44% in Q1) 67% have increased their prices due to rising outgoings
10% report staff redundancies and
contract terminations due to cost pressures (up from 9% in Q1)
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