Following the news last week that Britain is to hold an in-out referendum on a possible exit from the European Union on 23 June, the level of debate in the industry – which has until now remained largely silent on the matter – is increasing.
But the prospect of worsening labour and skills shortages, along with uncertainties over the industry’s continued ability to import materials from EU countries in the event of a “Brexit”, seem to be steering the industry towards support for the “Remain” campaign, according to the sample of opinion surveyed in Construction Manager’s vox pop.
This mirrors the results of a poll carried out by financial consultant Smith & Williamson at the end of November 2015, which found that just 15% of 200 respondents from the construction and property sector thought that leaving the EU would have a positive impact on the industry.
And all but one of the construction companies to openly declare an allegiance have opted in favour of remaining in the EU, with only JCB declaring itself for “out”.
The chief executives of Carillion and Mace were signatories to a letter to The Times on Monday, joining a list that included major clients such as British Land and Canary Wharf Group. Meanwhile, consultancies Gleeds and Rider Levitt Bucknall told Building they were firmly in the "in" camp.
At BuildUK, the industry’s largest trade association, there was a call for more debate and more leadership on the issue.
Suzannah Nichol, chief executive of BuildUK told Construction Manager: “We will be talking to our members and working closely with the CBI on the issue, but we won’t be officially polling our members.
“Most people in the industry seem to be cagey and actually I think that’s sensible for now. The big issue is making sure that everyone has sufficient information, which is difficult, but you can only make your choices based on this.
“Some employees are looking to employers for guidance. They want to know, will the company be better in or out? So in that sense there does need to be leadership on the issue.”
But she added: “Overall I would say we’re a conservative nation, a conservative industry. People don’t like change so I think decisions will follow this.”
Alasdair Reisner, chief executive of the Civil Engineering Contractors’ Association (CECA), told Construction Manager that the issue had been raised at discussions of the industry’s Strategic Forum, but it was unclear whether or not the body would formally take a position on the issue.
But he added that a CECA poll in May 2015 had been firmly pro-Europe, with around 68% supporting the idea of staying in the EU, 14% favouring Brexit and 18% undecided. CECA is currently conducting a new poll, “to check if the position remains the same”.
Among other trade bodies within the industry, the National Federation of Builders has confirmed that it will shortly be polling its members to find out their thoughts on the issues.
Paul Bogle, head of policy and research for the NFB, said: “We will be conducting a poll over the next few days to find out our members’ thoughts on the issue. But I get the sense that it isn’t something they are overly concerned about.
“From looking at the issue from a wider industry perspective, however, I would have to say that I feel that people would vote to stay in. The impact of rising costs and particular labour issues would be a huge issue if an exit were to happen. The labour market is already squeezed enough as it is.”
But the Federation of Master Builders said it had no official plans to poll its members, and indicated that views among its SME members were likely to be split.
Sarah MacMonagle, head of external affairs at the FMB, told Construction Manager: “We won’t be taking an official view. One of the major things is if we did leave the EU, there is a real risk of construction skills shortage. It will also discourage migrant workers from coming to the UK.
“That is not to say the general consensus is bad. If you look at the regulatory burden associated with being in the EU, the red tape and the endless forms and criteria for projects and work, some might welcome an ease of this. There definitely seems to be strong opinions on both sides.”
The CIOB and CM plan to conduct a survey of members’ opinions closer to the date of the referendum, with the CIOB preceding this with the publication of non-partisan research into the likely impacts of votes to stay or leave.
Unfortunately the industry only has itself to blame for shortage of skilled labour, having almost given up on apprenticeships. As regards Brexit preventing the hiring of foreign skilled labour, we will control our borders & admit only those we want. Cut the red tape, vote OUT.
From an international perspective the UK government is to be congratulated on holding such a referendum so as to gauge the feelings of the citizens as to which option they personally feel will best serve their specific interests! Would that more nations followed their praiseworthy example!
Most of the “in” scare is silly. I and hundreds of thousands of other construction personnel work overseas on work permits. For UK personnel that is probably considerably more than travel to the EU to work, and they work to UK standards which is more than the EU workers do. Why don’t we simply unilaterally move back to pre-EU status to that of the EEC that we originally joined (Free Trade only), I bet they would not throw us out. Remember they export more to us than we do to them and we could then do free trade agreements with the Commonwealth, North and South America, Middle East, Asia and China.
Our country is a major player on the world markets it doesn’t need to be trapped behind the bars of the German European Union cage, It will slowly die if it continues to be a subserviant minor part of this EU empire. Those urging us to remain are serving England like Quisling served Norway.