In 2019 industry was concerned by a potential No Deal Brexit scenario. It was clear that the UK had to be ready for change, but exactly what change was unclear.

Then, on 19 March 2020, the World Health Organisation declared the outbreak of COVID- 19 a pandemic. Suddenly, Brexit was forgotten, but in reality the UK was facing a battle on two fronts.
This article focuses on the construction industry in the context of supply chain pressures and resilience.

Brexit and COVID – the double threat
While it was obvious that Brexit would impact the sourcing and attainment of both labour and materials, some comfort has been provided by the Christmas Eve trade deal.

We now know that while there do not appear to be any direct charges on construction activities or products, there are some which may indirectly add to the cost of projects, such as the new Rules of Origin requirements.

The UK also enacted a new, points-based, immigration system at the start of 2021, which has implications for the supply of labour in construction. Quite serious implications too, given the ONS estimate that the London labour force is at least one third foreign. Adherence to these new rules may therefore mean additional time and money for employers looking abroad for labour.