Civils firms call for council-led priority projects stimulus

Aaron Morby 11 years ago

Civil engineering contractors have called on Government to free local councils to set out priority projects programmes to deliver an urgent boost for the economy.

The call to release smaller, shovel-ready projects came as the latest trade survey showed civils workloads and orders in freefall, particularly among roads contractors.

Concerns are running so high that the Civil Engineering Contractors Association has written to Chancellor George Osborne setting out a plan to release small projects to deliver an immediate boost for struggling civils firms.

Civil engineering contractors want to see Government extend its programme of setting out 40 nationally important infrastructure projects and programmes at a local level.

The letter says: “While less strategically important, there are thousands of smaller scale local projects that can provide a boost to the economy if they are allowed to proceed.

“We would like local authorities to identify their infrastructure priorities, and then be provided with the tools to work with the private sector to unlock each project, moving them swiftly towards implementation.”

CECA director of external affairs Alasdair Reisner said: “CECA is calling for action to unlock new activity in the sector. We want the government’s focus on 40 nationally significant projects to be replicated at a local level.

“In particular, there are thousands of smaller scale local projects that have the potential to provide a boost to the economy if they are allowed to proceed.

“If these projects are to fulfil their potential, local authorities must identify the infrastructure priorities in their areas, and be provided with the tools to work with the private sector to unlock each project, moving them swiftly towards implementation.”

CECA recommendations to Chancellor

  • Provide immediate short-term funding to boost shovel-ready repair and maintenance activity;
  • Rebalance infrastructure investment across the UK;
  • Ensure appropriate finance and funding models are in place to meet future investment needs;
  • Develop cross-party consensus on nationally-significant infrastructure policy and a long-term delivery programme.

Findings from the civil engineering workload trends survey in the third quarter showed that workload had declined for the second quarter running with 17% of firms, on balance, reporting falls in activity year-on-year.

According to a fifth of firms, civils order books were lower year-on-year, with the worst-hit companies being those who work on the UK’s roads.

Workloads in motorways and local roads fell in the third quarter with balances of -37% and -50% respectively, These hard-pressed contractors also reported a fall in orders in the quarter of around -45%, on balance.

Cost inflation continues to squeeze contractors’ margins, with 70% of firms, on balance, reporting cost inflation running at up to 5%.


Latest news

Geoffrey Osborne files administration notice

Contractor in talks to save parts of the business
2 days ago

RG Group signs £121m Newcastle rental homes job

Developer Olympian Homes advances 519 flats plan at Pottery Lane site
2 days ago

Winners named for £260m Manchester Uni framework

B&K, Henry Bros, Graham, Robertson and Vinci among new line-up
2 days ago

Shed specialist Benniman rides out market lull

Worcestershire warehouse builder says industrial and logistics work is picking up again
2 days ago

Another contractor cleared after high profile immigration raid

Adana Construction employees were working legally on site swooped on by Home Office
2 days ago

McAleer & Rushe wants to meet new London suppliers

Contractor holding Meet the Buyer event in London: Register now
2 days ago

McAlpine signs £500m Broadgate dual towers deal

Work to start on iconic 36-storey and 21-storey towers
3 days ago

Worker rescued from collapsed four metre deep trench

Fire crews take six hours to save trapped builder near Blackwall Tunnel
3 days ago

Gove puts another major building scheme on hold

Secretary of State starts another planning fight after M&S defeat
4 days ago

Greenwich University tenders £300m framework

Up to five firms will carry out upgrade and newbuild work at three campuses
3 days ago

Work starts on Manchester 26-storey Obsidian tower

Contractor Domis starts Salboy's 10th Manchester scheme in seven years
3 days ago

Race for £1.3bn West Midlands social homes framework

The Community Housing Group reboots tender race for new build housing
3 days ago

Delancey submits £400m King’s Cross lab plans

200,000 sq ft lab/office project will be built above railway and tube tunnels just 4.5m below
4 days ago

Winners revealed for £150m fire safety framework

New deal will help organisations comply with the Building Safety Act
3 days ago

Sellar plans £500m City tower next to Walkie-Talkie

Consultation starts on London 60 Gracechurch Street tower
4 days ago

Severfield ends year on high with record order book

Orders top £500m with strong future pipeline of opportunities ahead
4 days ago

Second senior director exits National Highways

Commercial director Malcolm Dare set to move on to new role
4 days ago

New scheme fuels London lab building boom

Plans in for 160,000 sq ft Whitechapel scheme near Royal London hospital
4 days ago

Contract race starts for next £155m section of A9 dualling

Prior Information Notice published for Tay Crossing to Ballinluig stretch
5 days ago

£55m Sheffield build-to-rent scheme approved

Demolition to start later this year for 158-flat Sheffield Garden project
5 days ago

London back as most expensive place to build in world

Capital leapfrogs Geneva to top costliest construction rankings
5 days ago

Gas supplier Regent to buy TClarke for £90m

£491m turnover listed building services specialist to be sold
5 days ago

Steel contractor Billington launches into bridge market

Steelwork firm hires staff from failed architectural and bridge specialist SH Structures
5 days ago

McGee employees benefit from rise in profits

Pre-tax profit doubles boosting payouts for Employee Ownership Trust
5 days ago

Lendlease veteran is latest new McAlpine director

Paul Sims joins as Operations Director after 40 years at rival contractor
6 days ago

Costain signs site labour supply deal with four firms

Contractor to use only a quartet of providers for temporary labour supply
5 days ago

BAM go-ahead for Leeds 200,000 sq ft office

Latitude Yellow will complete final plot at Doncaster Monk Bridge site
6 days ago

VolkerFitzpatrick wins £30m logistics job

Latest deal to build five distribution units for Prologis UK
6 days ago

Trio win new Scape utilities consultancy framework

Perfect Circle, AtkinsRéalis and Arcadis win places on
5 days ago

Precast firm FP McCann cleared after immigration raid

Home Office takes no action after public raid on construction site
6 days ago

Contractor services