Construction sector sees sustained growth

According to a recent survey by Markit (The CIPS Construction Purchasing Managers’ Index (PMI)) , the UK’s construction industry continued to experience healthy growth and expansion throughout August, which has enhanced hopes that the economic recovery of the industry is going from strength to strength.

The construction sector was deeply affected by the recession and the following worldwide financial crisis of 2008, and many, including our government, believe the strong revival of the industry is key to continuing our national economic recovery.

Housebuilding boom

It’s thought that the current residential housebuilding incentives have contributed to the current boost, resulting in the longest period of sustained growth since the beginning of the recession.

This increase in housebuilding during August will be good news to the government, with their current prioritisation of the sector to help provide a solution to the UK’s housing shortage.

If the next batch of official figures also supports this news, it is likely the construction sector will  contribute much more than was previously anticipated to economic growth during the 3rd quarter of 2015.

Whilst residential construction was the biggest area of growth, it is important to note that commercial construction projects have also reached a 5-month high.  

Another contributing factor to this positive rise is thought to be the falling oil prices. Companies are finally starting to feel the benefits of lower fuel bills which is helping to increase profit margins, and should hopefully speed up the investments needed to accommodate recovery.

What this means for the skills shortage

It appears that thriving companies have seen an increase in the number of contracts they are cashing in on, and have in return, taken on more staff resulting in a hiring boom.

Optimism about continued growth is high, with Markit’s survey showing more than half of respondents are expecting construction activity to keep rising over the next 12 months.

If these predictions come true, the industry is going to need to continue hiring skilled workers to keep up with demand and meet the requirements of their projects.

To ensure there will be enough skilled workers to fulfill this demand, the government is putting extra emphasis on apprenticeships to get young and unemployed people trained up and ready to take on a skilled role in construction.

Health and Safety Training Ltd

Here at Health and Safety Training Ltd, our expert team deliver a range of training options to support individuals in gaining the skills and qualifications they need to get a job in the construction industry. Alongside our usual training programmes and courses, we now offer full apprenticeship programmes to young people throughout the North East, in a variety of different sectors.

To find out more, or discover how you can boost your job prospects with an apprenticeship or training with Health and Safety Training Ltd – simply contact us on 019 6440 332.