June 2019 – Piling & Ground Engineering
Ever since the shock outcome of the Brexit referendum almost exactly three years ago, pundits on the ‘Remainer’ side have been predicting devastation for the UK economy.
In the construction industry, a lot of the concern has centred on the potential loss of migrant labour, especially since the suggestion that there should be a £30,000 salary threshold for skilled workers who want to move to the UK.
With nobody to do the work, the nation’s construction sites will grind to a halt, we’re told.
Except that, after three years, the construction industry remains in rude health. Our monthly tally of new contract awards has seen the flow of new work increase over this period when – if the pundits were correct – it should have dried up.
There’s no doubt that the industry is struggling to cope with a chronic shortage of skilled labour. But that’s always the case when workloads are on the increase. The same with the steady increase in the cost of building materials – it’s the law of supply and demand.
But having said all that, this month we report that workloads in the piling sector have started to fall for the first time in years. And while contract awards are still flowing thick and fast, the main beneficiaries seem to be the house-builders – other sectors look much weaker.
So far, Brexit hasn’t been the Armageddon predicted by ‘Project Fear’, but don’t forget: Brexit hasn’t actually happened yet.
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