Construction Industry Update: What is the Outlook for the Final Quarter of 2020?

There is no denying that 2020 has been a year that a lot of businesses did not anticipate. It has been a much more difficult and challenging year than many would have planned for. 

Over the past few months, the worldwide construction industry has been under intense stress due to the COVID-19 pandemic and the associated containment measures that have been put into place to stop the continual spread of the virus. 

Even in countries whereby the construction sector has been allowed to continue, being exempt from the restrictions on typical business activity, there have been temporarily shut down of construction sites, and widespread disruption. 

The impact of COVID-19

Several surveys have been carried out that show that there has been a considerable impact on the industry. 

In a survey that was conducted in May, 70 percent of the worldwide respondents stated that there had been a halt in construction work due to the outbreak of COVID-19. 

Moreover, 88 percent of all respondents had stated that there had been delays in new projects commencing due to the pandemic. 

The original growth for the worldwide construction industry was forecast at 3.1 percent. Since COVID-19, this has been revised to 0.5 percent. 

A busier end to the year

Because of this, we are likely to see a busy end to the year for the construction market. The industry has started to move again, and all of the projects that were put on hold will now be completed. 

Construction in Q4 of 2020

There have also been a lot of countries that have stated that the construction sector is going to be the backbone of their economic recovery from the pandemic, with the UK being a prime example of this. So, it could be that the construction industry is one sector that will start to flourish as we recover from the virus and reduce the spread. 

Of course, this does depend on where your work is being carried out and the risk of the spread. Nevertheless, businesses need to make sure that they are in a position where they can capitalize on any opportunities that come their way. 

A lot of businesses will have sustained profit loss due to COVID-19, and cash flow problems could mean that they are unable to put their company in the position to make the most of the opportunities that are available, halting progress and growth even further. This is why sensible lending solutions make sense during this period, helping you to get back on your feet and move in tandem with the market projects as we move toward the end of 2020. 

So there you have it: an insight into the construction industry outlook for the final quarter of 2021. Outfitting your firm with the equipment you need, funded by sensible loans and leases, can help prepare you with positive cash flow and capacity for the projects ahead. This can help to make sure that your business is in a position to capitalize on opportunities that arise throughout the coming months, ensuring a stronger end to the year.