The 2% fall in repair, maintenance and improvement (RMI) work in the building industry revealed in the latest ONS figures on construction output in Great Britain, reflects reduced consumer spend as a result of the higher cost of living, according to the Federation of Master Builders (FMB).
FMB chief executive Brian Berry says the ONS (Office for National Statistics) figures highlight the real term effects of a contracting economy.
“This is the third consecutive monthly decline in RMI work, which is the backbone of the construction industry and is often an early indicator of what’s to come for the wider sector,” Berry adds.
“Small local builders are under increasing pressure to keep their bottom lines in the black, as cash strapped consumers hold back on new projects ahead of a difficult winter period. The Government needs to set out the detail of their pro-growth agenda to help restore confidence in the economy. A win-win would be a nationwide energy efficiency plan to make our homes more energy efficient, which boosts jobs and lowers bills. A more immediate shot in the arm would be a reduction in VAT on RMI work, helping builders pass on savings to customers.”
The FMB represents thousands of small and medium-sized (SME) construction firms in England, Scotland, Wales and Northern Ireland.
