40% of construction SMEs in Northern Ireland (NI) said a hard border between NI and the Republic of Ireland could have a negative impact on their ability to source employees.
In a survey of its Northern Ireland members by the Federation of Master Builders (FMB) many voiced their concerns about the fallout from Brexit and the potential of a reintroduction of a hard border between the two countries.
Of those questioned, more than half of construction SMEs in NI said a hard border would have a negative impact on purchasing products and materials from the Republic. With almost half of these companies purchasing building materials or products as well as employing people from across the border, this was a major concern.
Just under 40% of construction SMEs in NI said a hard border between NI and the Republic would have a negative impact on their ability to employ people from across the border, while one in three builders said they have had their margins squeezed on projects since the depreciation of sterling following the EU referendum due to its impact on material prices.
Brian Berry, chief executive of the FMB, said: “Our research clearly shows that a hard border between Northern Ireland and the Republic would dampen growth among construction SMEs. What we’re calling for today is a return to the pre-1973 arrangement that saw the free movement of people between the UK and Ireland.
“There are more than 200 roads that criss-cross between NI and the Republic and up to 35,000 people commute from one side to the other every day. A typical NI construction firm transports materials, products and labour from the Republic into Northern Ireland on a regular basis and anything that interferes with their ability to do that quickly and easily must be dealt with sensitively.
“Indeed, almost one third of NI construction firms employ people who are based across the border and over half think a hard border would have a negative impact on purchasing products and materials from the Republic.”
He added: “Brexit is already making its presence felt in Northern Ireland with builders feeling the pinch since material prices have risen following the depreciation of sterling after the EU referendum. Let’s remember that the construction industry is central to the health of the NI economy. The construction sector employs around 65,000 people and has an output of £2.4bn per annum in NI alone.”