As the Brexit saga trundles on and as yet with no obvious end in sight, it is hard to imagine what the post-Brexit world will look like, particularly for business. Many in the construction industry have found themselves adopting a holding pattern, awaiting the outcome before moving ahead with significant projects.
With many projects in the UK funded by foreign investment, it is likely that these overseas investors are also delaying investment as sterling continues to devalue due to the uncertainty, allowing them to pay less for these projects than initially projected.
The flipside of this, however, is that regardless of what the final Brexit deal is, the UK is likely to benefit from what has been described as the ‘Brexit Bounce’, where the raft of projects that have been in stasis throughout the uncertainty start moving to the next phase.
Whilst it is unlikely that the bounce will last much longer than six months or so, it will give an impetus to the industry that has been lacking in recent months as it has waited for decisions to be made, contracts appointed, and works to commence.
Although we still don’t know exactly when the final Brexit decision will be reached, it is important that those of in the construction industry who are waiting for projects to progress are in the best position possible to move forward as soon as a decision is reached, minimising any further delay.