Economic News

Written by Clara Brown

New Government Initiatives to Support the Construction Industry

The UK construction industry has been a cornerstone of the nation's economy for centuries. In recent months, it has continued to exhibit a mix of positive trends and challenges. On the positive side, the industry has seen a resurgence in activity. Construction output increased in August 2024, driven primarily by growth in new work. This follows a slight decline in July, suggesting a stabilization of the sector. The housing market has also shown signs of resilience, with private housing new work contributing significantly to the overall growth. Several major projects have been announced or are underway, such as the £280m Cambridge waste water treatment plant relocation project and the £135m Wigan Galleries scheme. These projects not only provide a boost to the industry but also contribute to the development of local communities and infrastructure.

person Clara Brown
event_note 16th October 2024
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Written by Clara Brown

What Labour’s Election Win Means for UK Transport Infrastructure

The Labour Party’s victory in the July 4 general election has set the stage for a major overhaul of the UK’s transport infrastructure. With a significant parliamentary majority, Labour leader Keir Starmer now has a clear mandate to implement the party’s ambitious transport manifesto. This plan centres on creating a more sustainable, efficient, and equitable transport system, addressing long-standing issues across public transportation, road infrastructure, and environmental sustainability.

person Clara Brown
event_note 30th September 2024
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Written by Clara Brown

The Bank of England’s Next Interest Rate Decision: Implications for the Construction Industry

The next Bank of England Monetary policy meeting is on Thursday, August 1st 2024, where many speculate there is a 50-50 chance the Banking of England keeping rates the same or cutting them. Rate decisions have a profound impact on the broader economy, and the construction industry is no exception. The sector, characterized by long-term projects and substantial capital investment, is particularly sensitive to changes in borrowing costs. In this blog, we’ll analyse how the Bank of England's next interest rate decision may have strong implications for the construction industry.

person Clara Brown
event_note 31st July 2024
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Written by Clara Brown

How UK Construction Wages are Reshaping the Industry

The UK construction industry is currently navigating a complex economic landscape. While there are signs of a slowdown, with builders' merchant sales dropping in Q1 2024, a different story unfolds when it comes to costs. Construction materials and labour remain expensive, creating a double-edged sword for both businesses and workers.

person Clara Brown
event_note 20th June 2024
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Written by Clara Brown

The Rise of Sustainable Construction in the Middle East

The rise of the sustainable construction industry in the Middle East is an inevitable shift. While challenges exist, governments, industry leaders, and consumers all have a role to play in ensuring a sustainable future for the construction industry. By working together to embrace innovation, collaboration, and education, the Middle East can build a future that is prosperous, environmentally responsible, and ensures the well-being of its citizens.

person Clara Brown
event_note 02nd May 2024
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Written by Clara Brown

Long-Term Fallout: The Construction Industry After a Disaster

The recent Baltimore Bridge disaster, where a collapse tragically claimed the lives of construction workers, serves as a stark reminder of the industry's vulnerability to unforeseen events. While the immediate aftermath focuses on rescue and investigation, long-term consequences ripple throughout the construction industry, impacting everything from safety protocols to project costs and public trust. Here are some of the long-term impacts after such an event:

person Clara Brown
event_note 11th April 2024
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Written by Clara Brown

Squeezed Margins, Scarce Materials: Rising Manufacturing Costs are Affecting UK Construction Projects

While the S&P Global UK Manufacturing PMI may not directly measure the pulse of the construction industry, its recent struggles have had a significant negative impact. As the UK manufacturing sector grapples with contraction for the 17th consecutive month, its tremors are felt throughout the wider economy, with construction facing headwinds as well. We’ll explore how rising manufacturing costs are affecting UK construction projects.

person Clara Brown
event_note 24th January 2024
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Written by Clara Brown

UK to Invest £200 Million Extra into Repairing Roads

The UK government has announced a significant investment in highways maintenance, allocating an additional £200 million for the financial year 2023-24. This welcome move comes on the heels of the £2.7 billion funding settlement announced in the October 2021 Spending Review, which committed to providing local authorities with long-term support for maintaining their roads.

person Clara Brown
event_note 08th January 2024
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Written by Clara Brown

Booming Investment in Infrastructure in the Middle East

The Middle East's economy is diverse and characterized by a large reliance on oil and natural gas exports. While some countries have made significant progress in diversifying their economies, the region remains heavily reliant on these commodities. In recent years, there has been a growing recognition of the need to diversify the region's economy.

person Clara Brown
event_note 29th November 2023
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Written by Clara Brown

How Current Wars are Affecting the UK Construction Industry

The global economy, already rattled by elevated inflation, is now facing another geopolitical crisis in the Middle East after the surprise attack of Hamas on Israel and subsequent declaration of war by the latter. The fallout of Israel-Hamas war on the global economy may take time to become clear but would become more severe if the conflict spreads to the rest of the Middle East, especially Iran, which is both a major oil producer and supporter of Hamas.

person Clara Brown
event_note 08th November 2023
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Written by Clara Brown

High Interest Rates are here to Stay

With continued high levels of inflation, The Bank of England Deputy Governor Ben Broadbent said UK rates may have to rise further. Clara Brown looks at how this may affect your business.

person Clara Brown
event_note 18th October 2023
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Written by Clara Brown

Slowing Down Interest Rate Rises, High Oil Prices and the Struggling Sterling

With high Oil Prices and the Struggling Sterling, Degafloor discusses the impact it may have on the future outlook. Clara Brown looks at how this may affect your business.

person Clara Brown
event_note 20th September 2023
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Written by Clara Brown

Potholes are Becoming an Election Issue in New Zealand

Potholes are becoming a big issue for New Zealand’s prime minister due to a previous lack of investment to make the roads safe. Clara Brown looks at how this may affect your business.

person Clara Brown
event_note 23rd August 2023
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