Construction Confidence At New High

The Scottish construction industry is ending the year on a new confidence high'', according to a report.

Experts said the findings of the latest Scottish Construction Monitor suggest that the industry's recovery following the tough economic times of recent years is now happening.

The quarterly survey prepared on behalf of the Scottish Building Federation (SBF) asked its members: Overall, how would you describe your confidence in the economic prospects facing your business over the next 12 months, compared to the previous 12 months?''

A score is applied to each response and an average is then calculated. A result of +100 would indicate that all survey respondents were much more confident about future prospects, while -100 would indicate they were all feeling much less confident.

The latest survey shows industry confidence at a new record high of +26, up 15 points on the previous quarter.

It is now the sixth consecutive quarter where overall confidence within the construction industry has been rated positive and it is the highest confidence rating recorded since the construction monitor began in 2008.

But at the same time, employers also highlighted critical skills shortages in a number of key trades and managerial positions, with specific skills shortages particularly acute'' in certain areas.

They are calling for increased funding to help recruit and train more apprentices, the SBF said.

For example, the survey found carpentry and joinery skills to be in generally short supply with companies in the north-east of Scotland particularly affected.

There is also a shortage of bricklayers across all regions, although the impact is especially strongly felt in the Central Scotland and Fife regions.

Employers in the Highlands and Islands report particular difficulties with recruiting project managers.

SBF managing director Vaughan Hart said: With these new survey results, it's great news that the Scottish industry is able to close 2014 on a new confidence high. That suggests that the industry's recovery is now happening.

The flip side of that is that employers are encountering increasing difficulties in filling certain management roles and there are emerging skills shortages in certain trades. This seems to be particularly true of joinery and bricklaying trades.

Our members are telling us that current levels of funding provided through Government and CITB (Construction Industry Training Board) grants to help employers recruit and train apprentices are insufficient.

Given the growing skills shortages the industry is now facing, now is the time to review funding and to explore what additional support can be provided to boost training and recruitment. As an industry, we also need to be more proactive in promoting careers in construction as an excellent prospect for today's school leavers.''

A Scottish Government spokeswoman said: We welcome growing confidence in the Scottish construction industry in 2014 and will work with the sector to build on this into next year. Scotland's economy is growing stronger and our employment figures are improving on a monthly basis.''

She said ministers recognise that investing in the workforce is key'' to Scotland's future economic success.

The spokeswoman went on: Building a strong future workforce is a key priority. Our youth employment strategy, published last week, outlines what we plan to do to equip our young people with the skills and knowledge they need from the early years right through to the senior phase and into an apprenticeship, further and higher education, and a job.

This builds on work led by the Commission for Developing Scotland's Young Workforce, established by the Scottish Government, to look at how employers can better engage with schools and colleges to help young people develop the skills the labour market needs.''