Impacts of Brexit on the Construction Industry

Construction | Economic Consulting

October 30, 2018

FTI Consulting is an independent global business advisory firm dedicated to helping organisations manage change, mitigate risk and resolve disputes.

With dedicated teams in key political and commercial capitals, FTI Consulting is well placed to help you navigate your Brexit challenges and manage commercial risk. Our Brexit Leadership team outlines the key issues facing the construction industry and what companies should be focusing on amidst the political uncertainty.

The Construction industry has already been facing multiple issues impacting performance

Organic Growth

  • Stagnant social housing market
  • Lack of available land
  • Planning permission delays
  • Increased scrutiny and quality assurance
  • Slowing economy
  • Quality and client relationships will drive value in further

On-Site Operating Model

  • Slow speed of innovation
  • Skills and materials shortages
  • Training has not kept up with modern methods of construction
  • Sub-optimal data transparency not supporting design of an optimised delivery model

Varying Portfolio Drivers

  • Varying regional economics driving value
  • Different growth rates and underlying contribution
  • Core competencies driving upsides
  • Client relationships key value driver in certain businesses
  • Consolidation in market/bigger players

Lean and Efficient Support

  • Sub-optimal data transparency
  • Lack of accountability and cost control
  • Legacy systems and procedures
  • Roles and responsibilities aligned to reporting rather than active intervention and management

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