Improving economic conditions are benefitting the specialist sector, according to the latest NSCC State of Trade Survey.
The number of specialist contractors reporting an increase in orders in the second quarter of 2014 increased to 57%, up from 27% just over a year ago. The balance of orders - the difference between respondents reporting an increase and those reporting a decrease - reached its highest level since 2000.
Overall, 59% of specialist contractors are anticipating an increase in workload over the next quarter and a record high of 72% expect to see an increase over the next year. 84% of respondents reported they are now working at more than 75% capacity, while 43% are working at over 90% capacity. However, this is leading to difficulties for some, with 64% experiencing increased supplier prices and 19% reporting they are unable to bid for work due to skills shortages, well above the five-year average of 6%.
Payment practices improved slightly during the second quarter of this year with 16% of specialist contractors getting paid in an average of less than 30 days. This is the highest result ever recorded by the survey. In another first for the survey, the number of respondents waiting more than 60 days for payment at 14% was lower than the number receiving payment within 30 days.
NSCC contributes its findings to the State of Trade Survey published by the Construction Products Association, allowing the experiences of the specialist sector to be compared with the wider industry.