The industry is beginning to bounce back from the many disruptions over the last few years! The bounce back seems to be supported by public and private investment and the government's help of initiatives and changes.
The construction industry has plans to grow even more over the next 5 years as the economy recovers and infrastructure and technology advancements are made.
Key growth trends include:
Sales Growth:
o While 2023 saw strong sales, early 2024 experienced a decline but the only way is now up, right?!
o Recent months have shown a rebound, fuelled by rising demand in transport and housing sectors.
o The private sector's expansion in property developments has further boosted the need for construction equipment.
High Demand for Construction Equipment:
o Although there was a 30% reduction in plant sales over the last year, there is now new demand due to the modern machinery that is now available to buy and hire that aligns with the industry's target to reach net zero by 2050 and futureproofs businesses.
o Modern machinery is in high demand due to advancements and rules coming into place for projects across the UK that will reduce consumption, minimise environmental impact, and improve efficiency.
o The introduction of electric-powered construction plant equipment is a significant driver of this trend.
Technological Advancements:
o Digital tools and automated maintenance tracking is transforming how equipment is rented and managed.
o Telematics systems in modern equipment allow for real-time monitoring of performance, location, and maintenance needs, leading to reduced labour costs and shorter project timelines.
Industry Resilience:
o The industry has bounced back from disruptions, supported by both public and private investment.
o Government initiatives aimed at infrastructure growth have played a key role in this recovery.
Future Growth Outlook:
o Over the next five years, the construction industry is expected to grow further, driven by infrastructure expansion and technological advancements in plant hire and tool hire. The industry's continued focus on innovation and efficiency positions it for sustained growth in the years to come.