whitcode
In the second half of 2020 press reports were lamenting a reported 20.4 per cent reduction in the UK's GDP during the first lockdown. Whilst this finding is enough to send the best of us into a frenzy, on looking at the finer detail it seems that in June 2020, GDP grew by 8.7%. Why wasn't this the focus of the press report?
By October 2020 GDP was 23.4 per cent higher than in April, suggesting a slow but sure recuperation. Whilst I'm not denying the severity of the virus's impact on some sectors (especially tourism and hospitality), it is important to remember that many businesses in construction boomed in the the latter half of 2020; so much so that from some points of view 2021 is set to be a record year for Whitecode.
Although there was a slight lag in new orders, since November 2020 there has been a dramatic spike. I don't think I'll be the only MD to say it looks like 2021 is going to get busier, busier and busier!
Construction is getting greener
Perhaps the reason why things are getting busier is because construction is proving its resilience during adverse times. The industry is backed by the current government; the Prime Minister is pumping the 'Build, Build, Build' campaign and Rishi Sunak announced the much-welcome Green Homes Grant. I'm glad to see the Chancellor supporting greener heat as the UK prepares to go fossil-fuel free in 2025. Air source heat pumps in particular are key components of this strategy, and it's equally welcoming to see various funding plans available for homeowners.
Such high encouragement would make you think the UK is prepared for the roll-out. Not wanting to be the bearer of bad news, but it won't be as simple as just installing air source heat pumps here there and everywhere. Deep infrastructural changes need to happen to drive this roll-out to its success. It is reassuring to see that the electrical infrastructure and network is being prepared and upgraded, to be able to withstand electrical loads. Yet in delivering technologies such as heat pumps and even electric car charging, we have to ensure these innovations are efficient and resilient.
