Connect with us

Hi, what are you looking for?

Editor’s Pick

Political and economic instability expected to negatively impact projects across the UK

Most project professionals in the UK say political instability is negatively impacting projects they’re working on.

This is according to new data from Association for Project Management (APM).

A survey of 1,000 project professionals, undertaken for APM by research company Censuswide, highlights the potential knock-on effects of the turbulent political environment, as 64% of respondents nationwide expect it to negatively impact projects they or their organisation is currently undertaking.

Over half (56%) of business owners taking part in the survey also expressed concern about the negative impact of political instability on their projects.

The survey was carried out against a backdrop of rapid change and growing political pressures, high inflation and rising energy prices.

Respondents from the construction and technology sectors were particularly concerned with 76% of respondents from each industry saying they’re concerned that the UK’s political instability will have a negative impact on projects that they or their organisation are currently working on.   Over 74% of respondents working in engineering and those managing projects in retail and leisure were concerned about the current instability.

The impact of the instability is most expectant in the north of the UK, including Leeds where 80% of respondents expecting a negative impact on their projects.

With many projects reflecting significant long-term investments, the importance of political stability cannot be overstated. This supports the finding from research undertaken by PwC on behalf of APM previously, in which more than half of the 438 organisations that took part expressed concern over the perceived impact of political uncertainty in the UK.

Respondents to the latest survey were also asked to identify their main concerns regarding project delivery. The ongoing cost of living crisis and escalating energy prices were both identified as key challenges, cited by 28% and 26% of respondents respectively.

APM has called on the government to ensure a more stable operating environment for projects. Andrew Baldwin, Head of Public Affairs at APM, said: “Political instability affects every type of project in the UK, from major initiatives tackling global issues like climate change, to more targeted projects bringing benefits to local communities and businesses.

“A forecast of recession, spiralling energy costs and uncertainty around the cost of materials and other resources will be of grave concern to those financing or sponsoring projects, as a state of limbo builds anticipation of what the future holds.

“In the worst case, this could see budget cuts to projects, reduced scope in terms of what they’re trying to achieve, or a complete cancellation to avoid uncertainty and risk.

“It is vital the Government focuses in on that instability and the next Prime Minister outlines their approach to project success, providing those who are responsible for the successful delivery of projects the stability they need to ensure success.”

Association for Project Management (APM) is the only chartered body for the project profession.

Your information is secure and your privacy is protected. By opting in you agree to receive emails from us. Remember that you can opt-out any time, we hate spam too!

Latest

News

PHILIPPINE STAR/ MICHAEL VARCAS WASHINGTON D.C. — The United States is seeking to form a coalition of countries to drive negotiations on a global...

News

Buildings are seen along EDSA in Quezon City. — PHILIPPINE STAR/ MIGUEL DE GUZMAN By Diego Gabriel C. Robles  THE WORLD BANK (WB) upgraded...

News

Heavy traffic is seen on the southbound lane of EDSA in Cubao, Quezon City. — PHILIPPINE STAR/ MIGUEL DE GUZMAN THE PHILIPPINE auto industry’s...

News

REUTERS THE BANGKO SENTRAL ng Pilipinas (BSP) may deliver a second off-cycle rate hike in early November when the US Federal Reserve is expected...

News

Vendors arrange their goods at a public market in Manila. — PHILIPPINE STAR/ RUSSEL A. PALMA THE ASIAN Development Bank (ADB) is planning to...

Editor’s Pick

With the reversal of the 1.25% rise in National Insurance Contributions happening on the 6th of November, employers across the nation have an opportunity...

You May Also Like

News

BW FILE PHOTO GROSS BORROWINGS by the National Government reached P2.6 trillion as of end-September as it continued to raise funds to respond to...

News

KARASOLAR.COM TENA, Ecuador — Ecuador’s rainforest Achuar people say their ancestors long dreamed of a “fire canoe” or “electric fish” that would let them...

News

REUTERS By Luz Wendy T. Noble, Reporter The country’s foreign exchange buffers slightly increased as of end-October as the value of the central bank’s...

News

COVID-19 has had a significant impact on the mental health of Filipinos across different groups all over the archipelago. From frontline workers, parents balancing...

Disclaimer: Respect Investment.com, its managers, its employees, and assigns (collectively "The Company") do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

Copyright © 2022 Respect Investment. All Rights Reserved.