Construction: Impact Following The Election – Survey Results

Survey ResultQuestion: “Following the election result which saw the Conservatives go solo with a majority, how do you assess the immediate prospects for the construction sector?”

Just over two-thirds (67.7%) of those polled are in Positive territory following the recent Conservative election victory.

186 from a cross-section of construction companies took part in our recent survey assessing the sentiment and immediate prospects for the sector. Many ventured an opinion in addition to their comment which we can analyse in a little more depth to dig beneath the surface of the results.

Why The Positive Sentiment?

“Greater clarity in direction with policies, in particular on house building, beneficial to the construction industry” according to Alan Crawford, Managing Director of an architectural practice in London.

While Alastair Maciver, MD of a concrete and general building contractor in Guildford cites “…confidence in a certain result, clear direction of government resulting in confidence in the private sector particularly.”

The confidence theme continued, with Derek Walker, Director of a quantity surveying and project management practice headquartered in Manchester, echoing the sentiment “Stability, confidence and a strong economy will hopefully keep interests rates low, confidence in business high and hopefully this will support confidence in the construction sector.”

While finally, Jon Hughes, a building contractor from Hertfordshire feels the recovery should not see a change: “Most definitely positive. Hugely popular outcome with all my clients and suppliers. We are seeing a recovery, why tinker with it?”.

Not Everyone Agrees – What About Those Who Chose Negative?

Well Alex from Bicester points to continued austerity: “Austerity cuts will see the economy contract and construction will be the first to be hit.”

With a strong warning, an un-named respondent from an architectural practice in London claims negativity “…due to public sector cuts. Plus this government’s undervaluing of good design. Too many job losses in all sectors. General deskilling. Disaster!”

Status Quo – Those Who Forecast No Change

Lee Metcalf of an aluminium and cladding specialist in Lancashire chose no change “…as all our work is in London. Elsewhere in the country may have an impact but believe Conservatives will look after London as it holds up the rest of the country.”

Alan Drury adds “Not one political party has got to grips with the shambolic planning system we have to deal with. ‘Streamling’ the system has just made things worse. More forms, planning fees, delays.”

Tim Webb from steel manufacturing forecasts no change but highlights skills as an ongoing issue: “The lack of trained trades people and skills generally could have an effect  on any positive impact from the election. This coupled with the uncertainty of a possible  withdrawal from the EU could also have a long-term impact on investment from abroad, particularly in manufacturing.”

What Others Thought

An energy specialist raises an important point. They chose ‘other’  “…because we are very concerned about likely downgrading of the zero carbon building targets.  We think the big companies will lobby for a watering down of these, when we need to raise the bar.”

What Does All This Positivity Mean?

Many commentators believed the recent slowdown in construction was at least partly caused by the uncertainty of a hung parliament and another coalition.

So it’s perhaps a fair assumption, particularly if you look at the sentiment in this survey, to believe all those delayed decisions will now be unlocked.

There’s a very strong argument for assessing your position in the market, particularly if you’ve been holding back on making sure your name is out there and being considered by those awarding new projects.

Why not give us a call? You can chat about the various options for making sure your tenders have more punch, you get noticed by those you need to impress, and even try a campaign or two to get more enquiries and opportunities.

For more information on this post, please visit the main site or call the main office on 0843 506 5202.


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