Output Abroad

Abstract

United Kingdom contractors in the construction industry or associated with it undertook work abroad to the value of £1478 million in 1981–2 or some 7.4 per cent of their construction output in Great Britain and overseas combined.¹ This represents a check to the declining percentage since 1977–8, partly due to a rise in work abroad but also because of a further decline in work in Great Britain. Table 5.1 shows fluctuations in percentages since 1970. The actual figures cannot properly be corrected for inflation because work takes place all over the world and only a small part of the inputs are supplied from Great Britain. Most countries have no satisfactory construction price or cost indices and there is certainly no world construction price or cost index. Figure 5.1 shows the value of work done abroad at current prices. In order that some idea of real value may be obtained the output price index for Great Britain for all new construction is also shown. The value of contracts obtained and to a lesser extent the value of work outstanding fluctuate from year to year much more wildly than that of the value of work done which smooths the very large contracts over the period of the work. Growth in work abroad was sluggish until 1974–5 and after that year it increased faster than the price index until 1976–7. Since then the position has been less satisfactory until the more hopeful performance in 1981–2.