Construction Sector Deal: big on aspiration, but can it deliver?

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The government has published its long-promised construction sector deal – a document that the industry is hailing with cautious optimism, albeit with worries that it’s light on details. What might stand in the way of this strategy for change having a real impact on the industry?

Building a better construction sector is a familiar government theme. A slew of well-meaning reports and strategies have been launched in recent decades yet construction remains trapped by tradition, and established practices such as retentions and late payment have stubbornly remained.

Scratch beneath the surface of the supply chain and you will find companies a world away from the 21st-century digital technology culture of many big firms. But two recent shocks to the sector – the fire at Grenfell Tower and the collapse of Carillion – have combined to give renewed impetus to the calls for change.

And so we come to the government’s latest Industrial Strategy. It did not get off to the best of starts for the construction sector, which was barely mentioned in the green paper issued by the government in early 2017. By the time the strategy was unveiled late last year, that had changed and construction was clearly identified as a key priority. But the sector deal, initially planned for January, was delayed by six months.

“This time government has pledged direct support for the industry, provided the industry takes positive steps to help itself. It’s a deal”

Professor Peter Hansford, former government adviser

It was eventually published last month, in a 48-page document that is long on rhetoric and short on substance. It covers everything from increasing diversity among the workforce to changing the way business is done. But there appears to be no new money – at least none that has not been previously announced. 

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