Regional building
contractors are taking up market share in most parts of Britain since the
collapse of Carillion at the start of this year.
Glenigan’s
construction market analysis shows that regional contractors have increased
market share in nine of the 11 British regions in the 12 months to Q2 2018.
A year earlier,
Carillion had featured amongst the top 10 contractors in seven regions. The
contracting giant’s failure in January 2018 opened up space for regional
contractors, which have gained construction market share in five of these
regions.
Regional contractors
have made the biggest gains in the wake of Carillion’s collapse in the East of
England, the North East and Wales.
In the East of
England, the construction order book has more than doubled over the last 12
months at RG Carter to £303.6 million, putting the group in second spot in the
regional top 10 according to Glenigan’s industry analysis.
A year ago, RG
Carter was the only regional construction firm in the top 10 but has now been
joined by Winvic, SDC and Readie.
In the North East,
Tolent’s order book also doubled in the wake of Carillion’s collapse. The
Tyneside-based contractor has shot up the rankings to second in the latest
table and is joined in the top 10 by Gus Robinson, Esh and Surgo.
A year ago,
Carillion was the third biggest contractor in Wales with a £145 million order
book and their disappearance has seen a swathe of new entrants into the
principality’s top 10. Abergavenny-based Alun Griffiths has been taken over by
CRH-subsidiary Tarmac but Dawnus, JG Hale, Andrew Scott and WRW are now all in
the latest top 10.
A surge in orders
has taken Middlesex-based Henry Construction into the top 10 for both London
and the South East. Domis and Forrest are in the top 10 in the North West,
where Carillion’s annual order was £176.2 million this time last year.
Carillion had a tiny
order book in Scotland but CCG has joined Robertson in the top 10. Work High
Speed 2 rail project has favoured major national contractors in the West
Midlands but A&H and Bromsgrove-based Benniman have edged into the top 10.
The only regions
where regional contractors have not gained market share over the past year are
the South West and in Yorkshire. Carillion was ranked among the top 10 in both
regions, but Bristol-based Midas is now the only regional player in the South West.
In Yorkshire,
regional contractors appear to have lost market share in the wake of
Carillion’s collapse. Caddick, Clugston and GMI all featured in the regional
top 10 a year ago but the latest table is now dominated by national players.
Overall, Glenigan’s
construction data shows that the top 10 tables for the 11 British regions
feature 24 contractors that can be classified as regional. A year ago, that
total was just 14, illustrating the scale of gains by smaller players since
Carillion’s demise.
