| BCFA Market Report 2009/10 |
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THE sheer size and commercial potential of the UK contract furnishing industry is highlighted in a comprehensive market report which has been compiled by the BCFA technical team. The BCFA 2009/10 Market Report is available either in printed format or as a PDF file and is free of charge to all members of the association. For details, contact Mary Nannery at the BCFA SUMMARYThe overall value of the contract furnishing sector is estimated at £2.18 billion
After a generally fair first half business slowed down in the second half of 2008 and has continued to be difficult in 2009. Customers continue to ask for quotations for work but contracts are slow in coming through and when they do are reduced in scope. There is a general feeling that some of this activity is being done to renegotiate a better price with a contracted supplier. Business is down by around 11% overall and will probably be down between 10 and 15% by the end of 2009. The hotel sector looks to be more resilient but the bulk of the activity will be at the budget end, even here plans have been trimmed. In the healthcare sector, NHS programmes are under pressure due to the difficulties of raising finance through PFI and many remaining large projects are likely to be shelved. The office sector is already down 30% in 2009. Education no longer looks immune, with the loss of all but a handful of FE projects and announced plans to cut the education budget by 2%. Higher education programmes look particularly vulnerable. Much will depend on the result of the forthcoming general election but market sentiment is unlikely to shift much until Spring 2010.
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