{"id":155401,"date":"2025-09-22T14:47:50","date_gmt":"2025-09-22T13:47:50","guid":{"rendered":"https:\/\/www.pbctoday.co.uk\/news\/?p=155401"},"modified":"2025-09-22T14:47:50","modified_gmt":"2025-09-22T13:47:50","slug":"van-elle-profit-report-warns-shortfall-blames-bsa","status":"publish","type":"post","link":"https:\/\/www.pbctoday.co.uk\/news\/planning-construction-news\/van-elle-profit-report-warns-shortfall-blames-bsa\/155401\/","title":{"rendered":"Van Elle profit report warns of shortfall, blames BSA"},"content":{"rendered":"

Profits are expected to be \u201cmaterially below\u201d predictions for the company, due to contract delays and restrained spending<\/h2>\n

The Van Elle profit report tells of several projects having progress prevented by factors, including the Building Safety Act.<\/a><\/p>\n

Van Elle is a ground engineering contractor specialising in piling.<\/p>\n

The medium term is still optimistic<\/h3>\n

The report is a trading update that said, in spite of expectations, revenue has remained low in the first four months of the financial years to 30 April 2026.<\/p>\n

Blame has been pointed towards the Building Safety Act (BSA), as gateway approvals have caused delays and contract deferrals across every sector.<\/p>\n

As an example, there are some jobs that the company expected to begin in the final quarter of the previous financial year, but were delayed to begin in the current financial year.<\/p>\n

The report reads: \u201cAs commented on in its results announcement on 23 July 2025, challenging trading conditions experienced throughout FY2025 continued into the new financial year. The expected improvement across the Group’s core sectors is yet to materialise, attributable to spending constraints and delays to contract starts across all sectors, particularly related to Building Safety Act (‘BSA’) approvals for high-rise residential buildings.\u201d<\/p>\n

The SCF agrees on the Building Safety Act<\/h3>\n

Last month, the Southern Construction Framework (SCF) released a report<\/a> observing that the Building Safety Act is causing delays in pre-construction periods, repeat tendering, and selective subcontractor engagement.<\/p>\n

SCF referred to wider construction output data, showing that there was a 0.6% slowdown in May, stifling three months of growth.<\/p>\n

The PMI for that period also showed a contraction to 44.3, the lowest since May 2020.<\/p>\n

Janara Singh, assistant framework manager, said: \u201cWhile the market remains competitive and relatively stable in terms of costs, the underlying pressures from regulatory delays, labour constraints, regional resource imbalances, funding uncertainty, and rising insolvencies are shaping a more cautious and selective supply chain. Continued monitoring and proactive engagement with contractors will be essential to navigate the months ahead.<\/p>\n

\u201cMaterial availability has also seen a modest regional average increase of +0.3 weeks this quarter with the following seen across trades: M&E (+0.7 weeks), Tower Crane (+0.67 weeks) and Carpentry and Joinery (+0.6 weeks). Regional pressures were noted by subcontractors, such as large-scale schemes like Hinkley Point and Bridgewater straining supply chain resources. This is affecting bid returns and availability for other projects.\u201d<\/p>\n

Adrienne Turner, framework manager, said: \u201cWhile overall material lead times are expected to stay relatively stable over the next year, roofing, cladding, and windows are still seeing the longest delays. These envelope elements are critical to project sequencing, so even short hold-ups can ripple through delivery.<\/p>\n

\u201cEarly procurement, close monitoring of supplier lead times, and securing key materials through framework agreements will be vital to keeping programmes on track.\u201d<\/p>\n

\n<\/div>","protected":false},"excerpt":{"rendered":"

A new Van Elle profit report warns that the Building Safety Act has caused delays and damaged the company’s profits.<\/p>\n","protected":false},"author":32,"featured_media":155402,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[304],"tags":[172800,908,276],"stakeholder_rel_tag":[],"contributor_rel_tag":[],"class_list":{"0":"post-155401","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-planning-construction-news","8":"tag-building-safety-act","9":"tag-economy","10":"tag-government"},"acf":[],"yoast_head":"\nVan Elle profit report warns of shortfall, blames BSA<\/title>\n<meta name=\"description\" content=\"A new Van Elle profit report warns that the Building Safety Act has 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