The first three months of 2021 saw enquiries with building firms across the UK increase at their fastest rate in a decade, fuelling significant difficulties with construction material shortages, according to new data from the Federation of Master Builders (FMB) Scotland.
The latest FMB State of Trade Survey for Q1 2021, the only survey of its kind to track the experience of small to medium-sized (SME) construction firms in the UK, found:
• Workloads, enquiries and employment all grew in the period January to March 2021, with enquiries growing at their fastest pace in more than 10 years
• Activity in all sectors grew, but repair, maintenance and improvement saw the strongest performance with 55% of respondents reporting increased workloads
• Findings indicate that workloads for Scottish builders contracted, continuing the concerning trend from Q4 2020
• They also indicate that enquiries in Scotland moved into positive territory, following a drop-off in enquiries in November to December
Gordon Nelson, Director of FMB Scotland, said: "I am not surprised to see workloads for Scotland's builders continuing to shrink in Q1 2021, given the lockdown restrictions on non-essential building works inside people’s homes. That said, the enthusiastic rise in enquiries is reassuring so builders will be strong out of the starting blocks for the months ahead. In the first quarter of the FMB's 80th year, it is particularly pleasing to see enquiries across the UK grow at their fastest rate in more than a decade. However, this recovery risks being hindered by a severe shortage of construction products, as 93% of builders reported material price increases."
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