Glenigan forecast and league tables
Construction intelligence specialist Glenigan has forecast a market contraction of -2% in 2019, followed by a lift of 3% in 2020. However, its report also highlights a number of markets where growth is expected.
These growth sectors include logistics premises; student accommodation; build-to-rent; and secondary education. Technological and social changes in how people buy goods are driving the need for warehousing and logistics spaces. Major infrastructure projects such as HS2 are also forecast to drive civil engineering activity.
In its January 2019 league tables, Glenigan shows that the top four contractors are Kier, Wates, Morgan Sindall, and Sir Robert McAlpine. Top clients continue to be dominated by government departments: transport, health and education leading the field in terms of construction expenditure.
Notably, several universities are in the top 50 client listings: University of Cambridge; University College London; University of London; University of Birmingham and University of Manchester.
The Glenigan forecast does highlight the fact that ‘the industry is critically dependent upon the realisation of a Brexit agreement and the planned transition period.’ With 28% of the construction sector’s workforce made up of EU nationals, labour force availability will be a key factor in the future of the industry. Glenigan predicts that this may be a ‘spur for the greater use of off-site manufacture.”
* Picture credit. Shutterstock.com/ Richard Bradford