Top public sector construction suppliers in Q1 2018 revealed

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A new ranking launched by Tussell – a data provider on UK government contracts – has revealed the top construction suppliers to the wider public sector in Q1 2018

Wates Group stormed to the top of the construction ranking and was also the top public sector supplier overall, taking a total of £828m worth of awards in the first three months of 2018. This was largely driven by a single £800m contract for the Havering Estate regeneration project. The contract is due to run for at least 15 years.

Other prominent suppliers included Taylor Wimpey in second place (£202m), Kier Group third (£140m), Arup fourth and WSP fifth (both £111m).

construction suppliers
Top 10 construction suppliers by value of construction awards (Q1 2018)

The top 10 suppliers received a total of 41 construction awards worth £1.7b, accounting for 57% of the £3b of awards issued in the sector in Q1 2018.

Looking forward, more than £300m of construction awards are due to expire in the next 12 months – presenting significant opportunities for suppliers if these are replaced with new contracts. An additional 224 frameworks (essentially preferred suppliers lists) worth up to £3.7b are due to expire. Securing a place on future frameworks is vital for firms looking to win work through ‘call-off’ awards.

Gus Tugendhat, Founder of Tussell, said: “It is great to see the public sector fulfilling its pledge to invest in infrastructure by awarding more than 3,000 new construction contracts in Q1 2018. A number of the largest construction contracts in Q1 related to housebuilding – a sign that we are seeing long overdue action on the housing crisis.

“Our ranking sheds light on the biggest construction suppliers, but it is important not to overlook the fact that 1,000 SMEs also won construction contracts in Q1. With millions of pounds of construction contracts due to expire in the next 12 months, there is significant potential for firms of all sizes to win new contracts.”

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