Construction labour shortages remain an entrenched challenge across Europe

Labour shortages remain an ongoing challenge across Europe, limiting firms’ ability to deliver a strong pipeline of work. 28% of construction firms are reporting that lack of personnel is limiting their output and 14% are intending to hoard labour in the next three months to minimise future risk.

What you will learn:

• Six percent of firms continue to report material and equipment shortages, suggesting the industry hasn’t been overly affected by recent trade uncertainty.
• Reports of weak demand and financial constraints are in line with their historical levels. Both constraints are expected to ease as fiscal stimulus and past monetary easing feed through into the market.
• Europe’s construction sector has significant upside potential in the coming years, with upcoming fiscal packages and the renovation wave poised to bolster the pipeline of work. The biggest challenge facing the industry will be overcoming the lack of labour capacity. More construction workers will be required to deliver the volume of work that the sector is expected to take on in the coming years.