Contractors World UK & Ireland Vol 4 No 2 - page 56

Page 56
Contractors World - UK & Ireland Vol 4 No 2
C
onfidence is sweeping back into
the UK Plant Hire industry. Yet,
latest figures show that just
under half of all firms are increasing sales,
whereas half are improving profits.
Plimsoll’s latest 2014 market report
suggests Plant Hire firms may well be
putting security ahead of growth.
Bucking this trend however is a band of
39 firms who are delivering growth rates
of up to 8%, their market share jumping
from 26% to 28% in just two years.
Plimsoll’s findings concluded
• 9 firms have seen their sales increase
by over 8%
• These 39 firms now sell on average £12
million per year up from £9 million two
years ago
• Of the 1000 firms analysed, the average
sales increase is only 3.6%
• However, only 447 companies have in-
creased their sales
David Pattison, (pic-
tured), Plimsoll’s senior
analyst, said: “It really is
essential that businesses
look for areas of growth
in the market and see
how they can keep up
with the leaders.
“These 39 trail-
blazing
firms
are
heading-up the new di-
rection of the market and the other com-
panies must take notice of those 39 com-
panies.With salaries up and gross margins
down it’s clear as costs grow then sales
need to increase.”
Potholes Cash Welcome
Civil engineering contractors welcomed
the government’s announcement of extra
funding to help renew roads hit by weather
damage.
The Department of Transport has an-
nounced that an extra £140 million is
to be made available to help repair the
damage caused by the exceptionally severe
weather.
Government support for flood-hit
councils will increase by £36.5 million to
a total of £80 million. On top of this, an
extra £103.5 million is being made available
to all councils across England, bringing the
total government spending allocated to
road maintenance in 2013 to more than
£1 billion.
[cw]
Are Plant Hire firms
too content to grow in 2014?
CONSTRUCTION • NEWS & ECONOMY
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