Demand up for decarbonisation projects, says Southern Construction Framework
A new report from Southern Construction Framework (SCF) has recorded a 4.2 per cent increase in tender workload for Q4 2023 compared with the same period in the previous year.
The group, which represents a collaboration between Hampshire and Devon County Councils, found that demand is on the rise across the South for decarbonisation projects.
Though new work in the construction sector is down 30 per cent, repair and maintenance has remained roughly in the same place.
Adrienne Turner, framework manager at SCF, explained: “While the decrease in new work reported by the ONS points to a challenging economic climate, the increase in repair and maintenance is evidence of a shifting priority among clients towards the improvement of their existing infrastructure.”
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On the whole, trades also experienced a 4.6 increase in headcount during Q4 2023 when compared with the previous year, in preparation for an anticipated 4.9 per cent boost in tender workload over the next year.
Adrienne added: “It’s positive to see green shoots of recovery in the construction industry, with decarbonisation projects driving forward an increase in tender workload.
“While volatility within the construction market stabilised during the last quarter, meaning projects have seen an improvement in predictability, it’s important to note that we found that building cost was still 6.5 per cent higher compared to the previous year.
“With this in mind, it’s important to engage early with your main contractor. This will ensure that design solutions incorporate current market pressures before detailed design.
“This is integral for driving forward decarbonisation projects and supporting the public sector to achieve their net zero goals at a time when this is a top priority.”
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