Scotland's civil engineering contracting industry is reporting healthy order books while also showing concerns that "costs are still rising at record levels".

CECA Scotland's latest Workload Trends Survey for the last quarter of 2021 reveals:

• Workloads rose in Scotland, according to 45% of firms, the highest balance in nearly seven years

• A balance of 45% of Scottish firms also reported that orders had risen, the highest in nearly six years

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• For a second consecutive quarter, all Scottish firms reported an annual rise in costs

• Employment data showed an improvement from Q3

• The proportion of Scottish firms citing issues with the supply of skilled operatives and materials/products fell to 68% and 59% respectively, in Q4.

Commenting on the report, CECA Scotland said: "While the news about rising costs is unexpected, it makes for worrying reading for the industry as a whole. The survey took place before the Ukraine crisis and energy costs and price inflation have continued to rise.

We have called on the UK Government to take immediate action, including by delaying the planned removal of the rebate on red diesel."