Crossrail’s chairman switch, Kier’s credit crunch revelations and the 2018 Specialists Index dominate this week’s stand-out figures.
4 – Kier rivals facing credit cut
Mr Mursell was speaking to Construction News following the announcement that Kier would issue £264m of new shares in response to banks pulling out of the sector. “One thing the banks said was their desire to reduce [credit] facilities was common across the sector, and one [bank] was very specific that four of our peers were being treated similarly. This is a sector-wide issue,” he said.
6.7% – Specialist margins on the rise
Tier two margins are growing as they take on more risk and contract directly with clients. The top 10s of six out of the seven specialisms covered posted increases in their median margin in their latest results.
53.4 – Activity at four-month high
New residential work helped construction activity hit a four-month high in November, according to the latest IHS Markit / CIPS purchasing managers index. The 53.4 figure represented the strongest level of activity since July, with commercial and civil engineering work also on the rise.
9 years – Sir Terry’s rein
Sir Terry had speculated over his own departure in the media earlier this week, as well as predicting costs would continue to rise on the embattled east-west rail link. The Department for Transport has appointed Allan Cook, a former Atkins chairman, as the new chair of HS2. The DfT said a successor on Crossrail would be announced in due course.
£325m – first CP6 contract awards
AmcoGiffen secured the larger of the two packages awarded, landing the £190m contract to deliver work on the London North East route from lot two on the renewals and enhancements framework. Story Contracting meanwhile won work in Scotland valued at around £135m from lot three.