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11/06/2018

Unite Calls For Govt To Intervene Following Drop In Output

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The UK Government must urgently intervene in the construction industry following another slump for the sector in April, according to union Unite.

The union made the call after Office for National Statistics figures revealed the industry contracted by 3.4% in the three months to April.

Unite assistant general secretary Gail Cartmail, said the government must establish a "coherent infrastructure plan" which establishes long-term projects throughout the UK, "to benefit all regions".

"The government's failure to provide proper support to construction has resulted in growth in the industry first stalling and now dropping," she said.

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"Construction is a key part of the economy and a further contraction in the sector will be bad news for the UK's economic performance.

"For too long we have seen a two speed construction industry with London and parts of the south east booming and the rest of the UK never having recovered from the 2008 crash.

"A sensible infrastructure plan is vital for the long-term health of construction and with the correct government policies should benefit other industries including steel, which also urgently needs central intervention and support."

With a new orders between January and March also falling by 4.6%, continuing Brexit uncertainty and the collapse of Carillion still affecting the industry, Ms Cartmail said the industry "urgently needs a shot in the arm".

"We also urgently need the government to introduce policies which will end the ‘race to the bottom' it is quite clear that cut-throat tendering on projects is making an already bad situation worse," she said.

(LM)

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