2016 looks set to be a bumper year for the construction industry, says leading tender alert provider Millstream.
This confidence follows findings from Millstream’s Tenders Direct service, where a 14% increase in new public sector business opportunities was found between September 2014 and 2015.
The number of available construction contracts had also risen to over 15,300 in 2015, with over 9,000 available construction contracts featured in the first six months of the year. This trend looks set to continue and grow during 2016 as the construction industry continues to recover.
Tenders Direct also noted a significant increase in renewable energy tenders, including solar panels, geothermal/heat pumps, biomass heating, combined heat and gas and energy efficiency consultancy, around 35% more. There has also been a 25% increase in Architecture and Design team opportunities and an 8% increase in new build tenders, reflecting the governments Construction 2025 strategy and plans for growth in these areas of the construction sector.
The government has also announced public sector construction predicted growth of 2.6% by 2018.
Millstream’s managing director Tim Williams added; “Construction is a major source of tenders in the UK and Ireland, the industry itself accounts for 6.1% of the total economic output in the UK, worth over £103 billion to the economy. With the government reducing regulations and reforming the procurement of construction projects, this has reduced costs and opened further opportunities for small and medium sized companies.
Around 70% of the construction tenders published on Tenders Direct in 2015 were below the EU threshold of £4.3 million, which means that they aren’t advertised in the Official Journal of the European Union (OJEU).
These smaller, but very valuable, contracts are particularly attractive to smaller companies as there is much less competition from major contractors or overseas companies.
Buyers are also being encouraged to break contracts down into smaller lots - which should make a huge difference for small companies in the construction sector in 2016.”
“Our Tenders Direct service helps companies across the UK who are interested in supplying the public sector, providing them with information on the right type and size of contracts to increase their chances of winning tenders.”
More than 4,000 private sector companies use Tenders Direct to find new business opportunities, of those over 950 are construction businesses, accounting for 22% of the customer base.
The Tenders Direct service provides private companies with comprehensive information on new business opportunities from the public sector. As well as helping to match Constructionline members with new business opportunities, the Millstream team can provide expert advice on how to win more tenders.
Tenders Direct work with thousands of public sector organisations in the UK, Ireland and Norway to publicise their contracts, allowing direct access to contracts that aren’t available to the majority of contractors. The specialised research team also review hundreds of sources for current contracts and include them in the Tenders Direct database - the majority of these are smaller contracts that are not widely publicised.
For more information please visit www.tendersdirect.co.uk.
- 15 Feb 2016