Construction bankruptcies persist
PwC has released a report which showed that more than 50 companies a week were going under as a result of the recession. 2,527 construction companies went bust in 2010 and another 2,688 last year.
Jonathan Hook, head of engineering & construction at PwC said: "2011 was another tough year for the construction sector and there were 6% more insolvencies in the sector in 2011 than 2010. The trend shows no sign of abating."
Accountancy firm Wilkins Kennedy found 1,570 construction firms alone went bust in the first three months of the year – 1.5% more than in the previous quarter.
"The outlook for construction companies is bleak," said Nick Parrett, head of property and construction at Wilkins Kennedy, noting that the Olympic boost is coming to an end and new building work on schools and hospitals is drying up.