How The UK Construction Industry Has Developed
Overtime, the UK has been known to be a leader in the construction industry. With notable buildings like the Shard in London being built in recent years, and numerous housing developments being completed in an attempt to produce more affordable housing options for UK citizens, UK construction is continuing to develop. With innovative technologies coming into play in the industry, such as crusher rock machinery, in order to keep in line with green construction practices, the development of the construction industry in the UK is an interesting one. Here, we’re taking a closer look at the impact the construction industry has had in the UK, and how it is continuing to develop in light of Brexit.
Economic Impact Of The UK Construction Industry
The construction industry has always had a major impact on the economy of the United Kingdom, and has led to the country becoming a leader in the global world. With the construction industry contributing nearly £90 billion to the UK economy (which makes up 6.7% of the total economy), and more than 2.9 million jobs filled in the industry, the construction industry is one of the most important sectors in the UK. In addition to this, the UK are one of the leader’s in green construction, and actually has the sixth largest green construction industry in the world. With jobs covering painters and decorators, bricklayers, masons, roofers, tilers, mechanical trades, plumbers, plasterers, plant and machine operatives, architects, and much more, the construction industry is truly all-encompassing in the UK.
UK’s Largest Construction Projects
The largest construction project to have ever taken place in the UK is known as Crossrail, which is due for completion in 2018, and began in 2012. This is a brand-new railway line which is set to run through London from east to west, as well as connect the capital city with the surrounding counties and Heathrow airport. As well as being the UK’s largest construction project, this is also the biggest construction project in the whole of Europe, and is reportedly set to cost around £15 billion! There are numerous other large projects set to take place in the UK, but these are likely to be put back until there is more light on the status of the Brexit negotiations. These include the expansion of London Heathrow or London Gatwick airports, a High Speed 2 rail to connect London and the West Midlands, and eventually a Crossrail 2, after the first is completed.
Brexit’s Impact On The UK Construction Industry
Despite having crawled out of what was called a technical recession in October, the impact Brexit is having on the construction industry is somewhat detrimental. In the three-month series in September, construction output was contracted at 0.9%, and this followed a decline of 0.5% in the second Quarter of 2017. While reports are suggesting that the construction industry has returned to growth, optimism regarding the future of the industry in the UK is at a low, as shown in this survey of purchasing managers working in the industry. Generally, the construction industry declined as a result of existing infrastructure projects coming to an end. While house-building has increased as a result of the help-to-buy equity loan programme put in place by the government, there has been a shortfall of contracts for civil engineering – and many people are blaming Brexit for this industry uncertainty. With more investors becoming weary about investing in new infrastructure projects in the country due to the unstable negotiations in place with Brexit, the future of the construction industry in the UK is weary.