CBI sets up new Construction Council

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by Lin Freestone

The Confederation of British Industry has announced the creation of a powerful new body to represent the construction industry.

The newly formed Construction Council will bring together all sectors of the industry from consultants and civil engineers to homebuilders, contractors and manufacturers of construction materials, currently represented by 42 trade associations.

Chaired by John McDonough, the Construction Council will consider a broad range of issues including the economy, energy, land use planning, procurement, climate change and skills.

John McDonough is chief executive of Carillion plc and vice chairman of the CBI’s Public Services Strategy Board.

The UK construction industry consists of over 250,000 firms, employing 2.1 million people in a wide variety of roles, and accounts for almost 9% of GDP. Until now, this important industry has not had the single unified voice it deserves.

The Construction Council will work closely with the major trade bodies to strengthen their efforts to represent the construction industry and ensure its concerns are clearly heard.

The setting up of the Construction Council has come at a challenging time for the construction industry. While many companies continue to enjoy good markets in the UK and overseas, others, particularly those with exposure to the UK residential market, are facing challenging times.

It is considered that the creation of the council will lead to the dissolution of some of the existing trade associations, including the Construction Confederation.