In the 2017 Construction Sentiment Survey, carried out by Causeway Technologies and Barbour ABI, the study found 71% of participants believe their company’s revenue is expected to grow in 2017 compared to last year, while 63% expect a growth in profits.
With three of the biggest issues facing the industry identified by the survey as stronger competitors, labour supply and customer demand, 67% of companies have already started implementing cost-reduction measures. However, larger companies (82%) are more prevalent to do this than smaller companies (58%).
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In addition, 70% of respondents believe their company is implementing initiatives to fuel growth this year.
Colin Smith, Chief Executive Officer at Causeway Technologies, said the UK's sector is facing "considerable change" in the coming years and "needs to be well prepared for what lies ahead."
"Whilst it is clear from the survey that construction professionals remain reasonably optimistic about 2017 with the industry growing steadily since 2013, they are also aware that they face an array of challenges, with a significant number of companies already looking at how they can cut costs and improve efficiency," he said.
"Identifying the issues is clearly the first step in tackling them, the next stage is for construction companies to introduce the solutions that will help them perform better in the face of the challenges they expect to encounter in 2017."
Michael Dall, Lead Economist at Barbour ABI, added: "Construction firms are looking to "future proof" and expand markets to meet the economic challenges that inevitably lie ahead.
"The industry appears to be learning its lessons from the years of subdued performance between 2009 and 2012 with many considering closely its initiatives for growth, issues facing their businesses but also ensuring the systems are in place to ensure they can weather any future downturn."
(LM/MH)
