Britain’s construction industry fared better than expected last month due to a strong performance in residential builds. Despite usually slowing down towards the end of the year, the sector has continued to rebound from the dip after the referendum earlier in the year. And PalletTrucksUK, one of the leading suppliers of pallet trucks, stacker trucks and other essential materials handling equipment, has advised companies to capitalise on the industry growth and push forward with new developments by stocking up on premium equipment.
Phil Chesworth, Managing Director at PalletTrucksUK, said, “The construction industry is the key to the country’s growth lock. If things are looking up, the construction industry thrives, and if things are looking less than bright, it seemingly grinds to a halt. The news that the industry is back on track after a lull is great news for the country as it shows there is investment interest and signs of growth for the coming year. However this doesn’t mean that businesses can take their finger off the pulse.
“The term ‘strike while the iron is hot’ has never been more apt than it is when talking about the construction sector at present. It is up to companies to make the most of the opportunities on offer to cement their future.”
In the wake of the referendum result, many sectors were taking cautious steps. As a result, the country’s sectors seemingly plunged into a decline that lasted for months. But the end of the year has brought back confidence with most sectors reporting strong recoveries.
But overall, activity in the construction sector expanded for the third month in a row, and at a faster pace than predicted by economists. The main reading on the Markit/CIPS UK construction purchasing managers’ index (PMI) sat at 52.8 last month, which was not only at an eight month high, but was also up from 52.6 in October.
Although great for the country, and of course the ever fragile construction industry, this announcement was swiftly followed by the news that the pound’s sharp fall is raising import costs for businesses – resulting in the steepest rise in prices for more than five years.
“It is up to businesses to look at ways they can save money in the long-term should prices continue to rise,” added Phil. “Investing in quality equipment may seem like a big expense for firms now, but it will add up to large savings in the future by helping to streamline processes and reduce the need to fix or replace it in just a few short years. And by doing so now, they will beat the expected further inflation rises.”
