UK-based construction businesses are being urged to ‘swiftly finalise and activate’ their risk management strategies before the end of the Brexit transition period.
Turner & Townsend’s latest UK Market Intelligence Report highlights the negative impact that Covid-19’s second wave and Brexit uncertainty is having on recovery in the construction sector.
The report recommends that clients act now to avoid disruption in the New Year, regardless of whether the UK secures a deal or not. Turner & Townsend warns of the risk of import delays and cost increases as a new trading relationship beds in.
The reports calls for clients to scrutinise risk management plans and other provisions for business continuity, including understanding EU dependencies on construction programmes – assessing how reliant the supply chain is on labour from overseas, and also what proportion of materials and components are sourced from the EU.
Richie Hales, director, infrastructure lead for Scotland, Turner & Townsend, said, “Infrastructure has remained resilient in Scotland through a pretty challenging time for the sector. With recent increased investment indications from both UK and Scottish Governments, the forward look is positive. However with Brexit, the Scottish elections and a tail to the Covid-19 impact, 2021 is not without its difficulties. At this uncertain time it’s important that clients continue to review risk management plans and strategies – working closely with the supply chain to mitigate potential impacts.”
