2023 Q1 Construction Industry Newsletter

Welcome to the first Streamline Recruitment Quarterly Industry Newsletter of 2023!

At Streamline Recruitment, we pride ourselves on staying up-to-date with the latest developments and trends in the industry so we can better serve our clients.?

So as we leave Q1 of 2023, we wanted to take a moment to update you on some of the major news stories from the previous three months in the construction industry.

We hope you enjoy the Newsletter!

Material Prices Easing

The UK materials shortage has caused an upheaval in the construction industry. Building companies are experiencing severe delays in sourcing materials, delaying the completion of big projects?and causing a significant disruption to the sector.

The ripple effects of this have also caused skilled tradespeople and other labourers are becoming increasingly difficult to come by, as the lack of available materials hinders the completion of projects and slows down recruitment initiatives.

Recent reports do show that steel and rebar prices are starting to decrease strongly after suffering the fastest inflation of all construction materials in the past two years. Even though as an industry the prices remain far above historical average, the market does seem to be stabilising as a whole.

Are the Current Net Zero Plans Inadequate?

The UK has committed to becoming Net Zero by 2050 and the Construction industry is making efforts to increase energy efficiency. However a report by Green Alliance has stated that the construction sector uses the most user of non-renewable materials in the UK, while also producing the largest amount of waste.

The use of non-renewable materials is letting the industry down especially as these are usually high in embodied carbon, at this rate achieving the legally binding 2050 deadline is looking unlikely. The Government’s Net Zero plans have come under scrutiny from sustainability experts, which is especially infuriating as the previous plan was dismissed for being sufficient.

Green Alliance is urging the UK government to act by implementing a goal of lowering the use of raw materials in construction by a minimum of one third by 2035. The aim should be to bring down use of the most carbon-intensive materials in both the public and private sectors, even more drastically.

An Update On HS2?

As of today, the HS2 (High Speed 2) project is still underway in the UK. The cost of the revised and delayed London Euston terminus has soared to ￡4.8 billion since 2020, as reported the public spending watchdog, due to misguided decisions that resulted in millions of pounds squandered.

Earlier in March the government was hit with criticism when they announced their plan to prioritise the initial services between Old Oak Common in West London's suburbs and Birmingham Curzon Street.

It is anticipated that the HS2 station at Euston will not be ready for use until at least 2035, with the location set to be preserved with only minimal staffing by security staff upon the completion of current preparatory tasks.

Our expert team prioritise staying in the loop with the trends and large news stories of their specific industries. If you would like to discuss how any of the above news stories could impact you or your business please follow the link below to Book a Strategy Call page.