Beard Construction comments on ONS Construction Output data
15 February 2024
Following the release of the latest ONS construction output figures, which shows construction output decline in both December and in Q4, please find a comment from Beard Construction.
Mike Hedges, company operations director at Beard, said: “Much like we have seen throughout the last 12 months, both December and Quarter 4 saw the increasing trend of repair and maintenance over committing to brand-new projects. This is as much driven by the economic climate and tougher borrowing conditions, as it is the shifting focus among a number of our customers to prioritise the improvement of existing building assets.
“While we have seen a number of positive indicators which has helped boost confidence, there’s no question inflation still remains a key barrier to growth, which remains twice the target of 2%. However, yesterday’s inflation news was better than expected, as many predicted another slight increase.
“While pressures do still remain as the wider sector contracts, the improving outlook for both the economy and the market has encouraged many to commence with work. In fact, at Beard, our secured orders are at a record high as we continue to respond to opportunities across the central south and further afield with the opening of our new south coast office.
“In securing new projects, we have worked in close collaboration with customers, exploring design options and remaining close to our supply chain, to create value and navigate some of the macro pressures which remain. There’s no question agility and financial stability are needed as key attributes of firms to respond to opportunities in the market and nurture confidence among their client base.”
