New PM ‘Needs To Boost Construction Sector’
The new Prime Minister needs to provide better support and stimulation to the construction industry, leaders in the field have stated, to help the sector benefit the entire UK economy.
According to the Federation of Master Builders (FMB), whoever is elected to take over from current Prime Minister Theresa May should make it a priority of theirs to give the construction industry a much-needed boost.
Sarah McMonagle, director of communications at the FMB, said: “Whoever wins the race for PM, I want to see that person take decisive action in their first days in office by intervening to stimulate our waning sector, which is so vital to the health of the wider economy.”
She went on to say: “Without it, our country’s house building aspirations will be impossible to deliver.”
Her comments were made after the Office for National Statistics (ONS) revealed its latest figures regarding construction output in the UK for May 2019.
The statistics showed construction output growth was flat in the quarter-on-quarter all work series, due to a balance between a fall in repair and maintenance of 0.5 per cent and an increase in new work of 0.3 per cent.
Construction output, on the whole, rose by 0.6 per cent in the month-on-month all work series, as there were increases in both new work (0.4 per cent) and repair and maintenance (1.2 per cent).
Ms McMonagle went on to say the construction industry is “vulnerable to dips in consumer confidence” and, therefore, has been greatly affected by the uncertainty of a no-deal Brexit.
To improve the sector, she suggested cutting VAT on housing repair, maintenance and improvement from 20 per cent to five per cent, which would boost building projects requiring plant machinery hire.