According a report from KPMG there has been a reduction of 886 projects from the government’s Construction Pipeline since December 2014, the last time analysis was carried out.
This equates to a 28% decrease in the number of schemes accounted for on the detailed list of government-led current and planned construction and infrastructure activity.
Overall the total allocated value for projects has fallen by £9.1bn from £127.8bn to £118.7bn. The vast majority of this decrease by value is from the transport and housing – equating to £6.7bn and £2.8bn respectively.
According to the report the reduction was due in part to “potential projects being removed from the pipeline to avoid pre-empting decisions in the forthcoming spending review”.
Richard Threlfall, KPMG’s UK head of infrastructure, building and construction, believes that the loss of more than a quarter of its projects in the past eight months proves that the government’s pipeline cannot be relied upon for companies to make accurate predictions on the level of future work.
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