It has been a challenging 12 months for the industry, with workloads and fee levels coming under heavy pressure while competition for each tender has also increased. Fortunately, the economy has now begun to stabilise.

The executive report points to the challenges which lay ahead for UK consultancy and engineering sector, notably a decline in construction output over the near term, constrained public spending and maintaining staff levels and access to skills. The State of Business Report 2009 helps us understand the impact of the recession and the direction of the recovery.

State of Business mid-term update - March 2009

Six months is a long time in economics. Half a year on from ACE’s State of Business report in 2008, the outlook for the consultancy and engineering sector has weakened. ACE members’ business confidence and forward order levels have fallen in line with recessionary pressures. As a broader barometer for construction activity these snapshot indicators highlight the current challenges the sector faces. In this document ACE provides the latest feedback on its member’s business optimism and a presents a five point plan for the government to ensure promised investment to help provide solutions to our economic challenges.

Click here to view the document.

To find out more about ACE’s market intelligence function please contact Graham Pontin, ACE’s economic analyst.