Columnist

North East construction industry on firm foundations

By John Dickson, chairman of the Owen Pugh Group

As we approach the end of the first half of 2015, it seems pertinent to reflect on a challenging six months for the construction industry. Latest figures from the Office for National Statistics show that in April output from the sector fell by 0.8% on the previous month, reversing a 1.4% rise in March. The annualised growth rate of 1.5% was the lowest since November 2013 as some companies reported tougher trading conditions.

Meanwhile, the industry is still grappling with a crippling skills crisis, with many firms suffering from a shortage of young talent.

Despite these challenges, however, there are still plenty of reasons to be cheerful. The construction sector is one of the key drivers of the regional economy and is made up of dozens of dynamic companies that employ hundreds of people. Their good work is transforming the North East skyline through the creation of new homes, offices, roads and bridges – which are helping to build a brighter future for the people who benefit from them.

At Owen Pugh Group we’re playing a major part in this transformation, having won work on several exciting projects in the region. Earlier this year we clinched a significant contract on the £30m Morpeth Northern Bypass scheme to create a 3.8-kilometre carriageway that will divert traffic around Morpeth and ease congestion in the area. Over an 18-month period we’re carrying out the earthworks part of the scheme, which involves the creation of a temporary haul road to open up the site, followed by “cut and fill” work to transform the ground into a new lay-out and design specified by the project team.

We’re also working on a two-year project to provide drainage and asset management support services to Durham County Council. Under this significant contract, which runs until 2017, we’re providing a dedicated emergency response service to ensure the smooth running of the drainage network across the county.

Aside from the contract wins, which have helped to boost growth at Owen Pugh, we’re also getting involved in activities that are benefiting dozens of people across local communities.

We provide jobs and training to disadvantaged and hard-to-reach groups through the Phoenix Detached Youth Project, a charity that works with teenagers and young adults who have found it difficult to secure employment. In addition, we’ve set aside £30,000 to donate to the Community Foundation Tyne & Wear and Northumberland, which will use the money to support a range of worthy causes over the next 12 months.

Owen Pugh first got involved with the foundation in 2007 and since then we’ve donated in excess of £125,000 to help more than 40 projects and organisations. This shows that bricks and mortar are only part of our business success story; we’re building a brighter future for communities on every level.

To find out more about the Owen Pugh Group visit www.owenpugh.com.

This was posted in Bdaily's Members' News section by Owen Pugh Group .