Clearview National April 2015 - Issue 161 | Page 87
BUSINESSNEWS
£15.5 Billion of stalled
construction schemes
revived during 2014
»»Figures released in February
by construction industry analysts, Glenigan,
reveal £15.5 billion of stalled schemes came
off the shelf during 2014 – up 17% on the
previous year.
For the second consecutive year, the value
of projects coming back into development
exceeded those put on hold, which totaled
£11.8 billion.
The value of stalled projects decreased
by 2% last year, sustaining the 78% drop
recorded in 2013, a period when confidence
rebounded rapidly.
Glenigan economist Tom Crane said:
“Overall the figures reflect the relatively stable
conditions of 2014 as it was the availability of
skills and materials, rather than work, which
rose in prominence as a concern during the
year.
“Nevertheless, the overhang of stalled
construction projects, which had built up
during the downturn, continues to edge down.”
He added, “Some of these schemes will need
to re-submit planning applications and some
will be reconfigured by developers in response
to changes in demand, such as substituting
leisure space for private sale apartments.
“In addition to being an indicator of firm
confidence among the industry’s clients,
the flow of projects coming back into
development is also translating into workloads
with a number of schemes already starting on
site.”
Impending General Election is not denting
construction industry confidence in 2015
»»Britain’s construction
businesses are expecting a strong 2015 for sales
and investment, and are continuing to recruit
strongly following 18 months of high optimism
about the economy reveals the new Vistage
Medium-Sized Business Confidence Index.
The research is based on responses by 43
CEOs, MDs and owners of construction
businesses (and also 402 businesses from other
sectors) conducted by Vistage, the leadership
organisation for business owners.
Steve Gilroy, CEO of Vistage, said,
“Capitalising on the strong economy,
construction businesses are investing strongly
in capital assets and creating more jobs, while
expecting strong sales and profit growth
throughout t