The construction industry could suffer a sharp loss of output if there are two General Elections this year, a public sector procurement specialist said today.
A second General Election could occur if the government fails a motion of no confidence without an alternative being put forward.
Analysis of data going back to 1955 by Scape Group shows construction output collapsed the last time there were two elections in a year – in 1974.
Construction sector output dropped by one per cent in the three months ending March 1974, when the first election took place and by four per cent in the three months ending December 1974 – when the second took place. It marked a turn in fortunes for the sector which had seen output expand in the 18-months prior.