Almost eight in 10 (78%) electrical and building services firms say turnover increased or remained steady in the second quarter of 2016, according to new research from the Electrical Contractors’ Association (ECA).
The findings cover the period leading up to the EU referendum, and the week following the landmark result. The ECA is currently working on a separate Brexit survey, which is open until Tuesday 6 September.
ECA CEO Steve Bratt commented: “The ECA’s business survey for Q2 indicates that electrical and building services firms have been doing more business, despite potential challenges in the wider economy.”
Looking at Q2 2016, the ECA’s Building Engineering Business Survey, conducted in association with Scolmore, also found:
• Small businesses (turnover £201k – £1m) had a positive quarter, with nearly 3 in 4 firms (72%) reporting turnover remaining steady or increasing, up 7% on the previous quarter.
• Medium-sized firms (turnover £1.1m to £5m) also enjoyed a strong quarter, with 8 in 10 businesses (80%) seeing turnover rise or remain steady, also up 7% on Q1.
• Large companies (turnover £5.1m to £20m) had a fair Q2, with over 8 in 10 firms (83%) indicating that turnover increased or remained steady, up slightly on the last quarter.
• Very large businesses (turnover over £20m) saw turnover hold steady, with over 5 in 10 firms (53%) reporting turnover remaining the same, while 35% had an increase.
Looking to Q3 2016, the period immediately following the EU referendum result, the outlook from building services firms remained positive. Over 8 out of 10 respondents (82%) expected turnover to increase or stay the same compared to Q2, which is similar to forecasts in the previous quarter.
ECA members were surveyed for their views in early July this year, with the response rate from members the highest in nearly five years.