UK Construction 2019 - What next?
UK Construction 2019 – What next? is the latest report from CMS and gauges views from 150 senior management representatives operating across the UK construction sector.
CMS wanted to explore with those at the sharp end in the main contractor market what challenges they face. However, recognising that construction is a sector which remains resilient and rises to the challenges when presented to it, we also wanted to understand what technological, commercial and contractual solutions are being developed.
Some common themes were identified in the report including:
- Suicide bidding and the race to the bottom on price remains prevalent
- leading to concerns about sustainability of the sector.
- The reality of best value is that it still means lowest capital cost.
- Contractors are being asked to assume high levels of risk although positions are hardening.
- Employers are looking for increased comfort about the financial security of contractors.
Contractor responses to these challenges are on the themes of:
- partnerships and collaboration
This work is part of a long term initiative by CMS to understand the realities faced by the contractor market. The objective is to help us develop the conversation on these issues and to allow us to better support our clients in the sector.
If you would like to discuss any aspects of this report or would like further support please contact a member of our construction team by visiting our construction and engineering page.