So, we’re at the end of another year.
As we all stand at the back door of 2024, and wait to walk through the front door of 2025, clutching a slice of bread, a glass of whisky, and a lump of coal, it’s time to reflect on the past 12 months.
Whilst there were pessimistic forecasts regarding the UK construction market 12 months ago, these have not materialized over the past year, though those of us who were optimistic about the level of advancement are probably somewhat disappointed..
The path to growth remains difficult, with data from the third quarter of 2024 indicating a 0.8% rise compared to the second quarter, although some analyses predict a slight contraction for the sector over the entire year. Notably, the growth in the second quarter seems to be primarily driven by new-build projects, which increased by 2%.
It is important to highlight that numerous significant projects are being executed nationwide, and the challenge lies in the fact that there is potential for much greater achievement. Although contractors may be exercising greater caution in selecting projects to pursue, there remains a strong demand, bolstered by the ongoing availability of private financing directed towards the UK.
A significant development in 2024 was the election of a new government in July, which prioritized infrastructure. The Chancellor has pledged to invest in this area; however, with a multitude of competing priorities, there is still much work for the government to accomplish.
In September, the prime minister emphasized the importance of “fixing the foundations of this country.” Similar to any effective construction initiative, it is crucial to ensure that the groundwork is properly laid. Additionally, it is vital to recognize the risks and negative outcomes associated with any delays.
That said, we firmly believe that all will come to pass and our flexible and proactive approach is the key to our route forward. We still believe that there are better things to come. in the next year
All of us at CGJ would like to wish our customers, suppliers, sub-contractors, and associated companies all the best for the festive season, and a Happy New Year.
(original photograph by Damien Walmsley)
