| 1. |
BACKGROUND AND INTRODUCTION |
7 |
| 1.1 | IMPLICATIONS FOR THE ROLE OF CONSULTING ENGINEERS |
8 |
| 1.2 | PUBLIC VS. PRIVATE SECTOR CONSTRUCTION EMPLOYMENT |
8 |
| 1.3 | NEW DEVELOPMENTS |
10 |
| 2. | SUMMARY |
12 |
| 2.1 | SIZE OF MARKET |
12 |
| 2.2 | FUTURE MARKET PROSPECTS |
13 |
| 2.3 | KEY PLAYERS AND THEIR MAJOR CHARACTERISTICS |
14 |
| 2.4 | END USER MARKETS AND THEIR EVOLUTION |
15 |
| 2.5 | CONCLUSIONS |
17 |
| 3. | ECONOMIC ENVIRONMENT |
19 |
| 3.1 | GDP |
19 |
| 3.2 | INFLATION & INTEREST RATES |
19 |
| 3.3 | UNEMPLOYMENT |
20 |
| 3.4 | HOUSEHOLD CONSUMPTION |
21 |
| 3.5 | HOUSING & CONSTRUCTION |
22 |
| 3.6 | STERLING |
22 |
| 3.7 | CONCLUSIONS |
23 |
| 4. | MARKET SIZE AND CHARACTERISTICS |
24 |
| 4.1 | OVERALL MARKET SIZE, STRUCTURE AND TRENDS. |
24 |
| 4.1.1 | Structure of the Industry |
24 |
| 4.1.2 | Market Size |
24 |
| 4.1.3 | Size of the Industry |
27 |
| 4.2 | MAJOR MARKET SECTORS |
28 |
| 4.2.1 | Transport |
29 |
| 4.2.2 | Ports, Harbours, Airports & Canals |
29 |
| 4.2.3 | Railways |
30 |
| 4.2.4 | Water and Waste |
30 |
| 4.2.5 | Environment |
30 |
| 4.2.6 | Contract Management / Project Management (CM/PM) |
31 |
| 4.2.7 | Facilities Management |
31 |
| 4.2.8 | Telecommunications |
31 |
| 4.2.9 | Building & Property Sector |
32 |
| 4.3 | TOTAL FEE INCOME |
33 |
| 4.4 | PROCUREMENT |
33 |
| 4.5 | GLOBALISATION |
35 |
| 4.6 | SUPPLY AND DEMAND |
37 |
| 4.7 | CURRENT AND FUTURE MARKET PROSPECTS |
37 |
| 4.7.1 | Sectoral Prospects |
37 |
| 4.7.2 | Overseas Prospects |
39 |
| 4.7.3 | Factors Affecting Future Market Prospects |
40 |
| 5. |
KEY COMPANIES |
42 |
| 5.1. | INTRODUCTION |
42 |
| 5.2 | MAJOR PLAYERS IN THE MARKET |
44 |
| 5.3 | MAJOR CONSULTING ENGINEERS |
46 |
| 5.4 | OTHER CONSULTING ENGINEERS |
69 |
| 5.5 | CONCLUSIONS |
71 |
| 6. | CONSULTANTS’ OUTPUT |
73 |
| 6.1 | INTRODUCTION AND MARKET BACKGROUND |
73 |
| 6.2 | END USER DEMAND |
74 |
| 6.3 | SEGMENTAL ANALYSIS - INFRASTRUCTURE |
77 |
| 6.3.1 | Transport |
77 |
| 6.3.2 | Water and Sewerage |
85 |
| 6.3.3 | The Environment |
90 |
| 6.3.4 | Energy |
91 |
| 6.3.5 | Airports |
97 |
| 6.3.6 | Ports |
99 |
| 6.3.7 | Telecommunications |
100 |
| 6.4 | SEGMENTAL ANALYSIS – BUILDINGS |
102 |
| 6.4.1 | Education Sector |
104 |
| 6.4.2 | Health Sector |
105 |
| 6.4.3 | Commercial Office Sector |
107 |
| 6.4.4 | Sport and Leisure |
108 |
| 6.4.5 | University Sports Infrastructure |
111 |
| 6.5 | CONCLUSIONS |
112 |
| 7. | FUTURE PROSPECTS |
115 |
| 7.1 | INTRODUCTION |
115 |
| 7.2 | FACTORS AFFECTING THE INDUSTRY |
115 |
| 7.2.1 | Importance of PFI/PPP |
115 |
| 7.2.2 | Partnerships - The "Client" Focus |
116 |
| 7.2.3 | Changes in Procurement |
116 |
| 7.2.4 | Geographical Developments |
117 |
| 7.2.5 | Standardisation of Documentation |
117 |
| 7.3 | FUTURE PROSPECTS |
118 |
|
TABLES & CHARTS
|
| TABLE 1 | CONTRACTORS OUTPUT FOR INFRASTRUCTURE BY SECTOR OF COMMISSIONING CLIENT 1996-2003 £M |
7 |
| TABLE 2 | PERCENTAGE OF CONTRACTORS OUTPUT FOR INFRASTRUCTURE BY SECTOR OF COMMISSIONING 1996-2003 |
8 |
| TABLE 3 | EMPLOYEE JOBS IN PRODUCTION, CONSTRUCTION, TRANSPORT & UTILITIES, MID-YEAR HEADCOUNT (000) 1996-2002 |
9 |
| TABLE 4 | UK CONSTRUCTION EMPLOYMENT IN LOCAL GOVERNMENT, BY
MID-YEAR HEADCOUNT (000) 1996 - 2003 | 9 |
| TABLE 5 | CONSULTING ENGINEERS – UK MARKET SIZE 2000-2004 (£BN) |
12 |
| TABLE 6 | CONSULTANT ENGINEERS’ RANKINGS BY TOTAL UK FEES BILLED 2001-2003 |
14 |
| CHART 7 | INTEREST RATES AND INFLATION (RPI) FROM 1990-2005 |
20 |
| CHART 8 | PDI & SAVINGS RATIO AT CURRENT PRICE 1990-2006 |
21 |
| TABLE 9 | EXCHANGE RATES - POUND STERLING TO DOLLARS, AND ECUS, SPOT RATES |
22 |
| TABLE 10 | ANNUAL TURNOVER FOR ENGINEERS AND ARCHITECTS (£M) |
25 |
| TABLE 11 | CONSULTING ENGINEERS – UK MARKET SIZE 1999-2007 (£BN) |
26 |
| TABLE 12 | NUMBER OF ARCHITECTURAL AND ENGINEERING RELATED TECHNICAL CONSULTANCIES BY TURNOVER (£M) 1997-2001 |
27 |
| TABLE 13 | CONSULTING ENGINEERS TOTAL WORKLOAD BY FEES BILLED AND MARKET SECTOR |
28 |
| TABLE 14 | CONSULTANT ENGINEERS’ RANKINGS BY TOTAL UK FEES BILLED 2000 AND 2003 |
33 |
| TABLE 15 | CONSULTANT ENGINEERING AND DESIGN ACTIVITIES – EXPORT AND IMPORT 1999 – 2001 £ MILLIONS |
36 |
| TABLE 16 | CONSULTANTS NEW WORK – PERCENTAGE COMPRISING FEES AND LAGGED WORK 2000-2003 (£M) |
39 |
| TABLE 17 | RANKING OF CONSULTING ENGINEERS BY FEES EARNED BY MARKET SEGMENT 2003. |
43 |
| TABLE 18 | TOP CONSULTING ENGINEERS TURNOVER – UK 2003 (£M) |
45 |
| TABLE 19 | TOP CONSULTING ENGINEERS MARKET SHARES – UK 2003 |
46 |
| TABLE 20 | ARUP GROUP LTD - KEY FINANCIAL DATA 1998-2002 (£M) |
47 |
| TABLE 21 | ATKINS PLC - KEY FINANCIAL DATA 1999-2003 (£M) |
48 |
| TABLE 22 | BABTIE GROUP LTD – KEY FINANCIAL DATA 1998-2002 (£M) |
50 |
| TABLE 23 | JACOBS GIBB – KEY FINANCIAL DATA 1999-2003 ($M) |
53 |
| TABLE 24 | BLACK & VEATCH CONSULTING LTD – UK TURNOVER BY SECTOR 2002 (£M) |
54 |
| TABLE 25 | HALCROW – KEY FINANCIAL DATA 2001 & 2002 (£M) |
55 |
| TABLE 26 | HYDER CONSULTING PLC – KEY FINANCIAL DATA 2001-2003 (£M) |
57 |
| TABLE 27 | MOTT MACDONALD GROUP LTD – KEY FINANCIAL DATA 1999-2003 (£M) |
59 |
| TABLE 28 | MOUCHEL PARKMAN – KEY FINANCIAL DATA 1999-2003 (£M) |
61 |
| TABLE 29 | MOUCHEL AND PARKMAN – CLIENT PROFILE |
62 |
| TABLE 30 | WSP GROUP PLC - KEY FINANCIAL DATA 1999-2003 (£M) |
64 |
| TABLE 31 | VALUE OF NEW ORDERS OBTAINED BY CONTRACTORS: BY TYPE OF WORK 1999-2003 (£M) |
74 |
| TABLE 32 | CONSTRUCTION OUTPUT NEW WORK BY CONTRACTORS: BY TYPE OF WORK 1999 - 2003 |
77 |
| TABLE 33 | PLANNED FUTURE PUBLIC INVESTMENT (NEW INVESTMENT AND RENEWALS) (£BN) |
78 |
| TABLE 34 | PRIVATE INVESTMENT IN UK TRANSPORT INFRASTRUCTURE SECTOR (£BN) |
78 |
| TABLE 35 | BREAKDOWN OF FORECAST EXPENDITURE 2003/4 - 2008/9 (£BN) |
82 |
| TABLE 36 | WATER COMPANIES' TOTAL PROJECTED EXPENDITURE 2005 – 2010 (£M) |
86 |
| TABLE 37 | COMPANY’S PROPOSED CAPITAL MAINTENANCE EXPENDITURE: 2005-2010 COMPARED WITH 2000-2005 |
87 |
| TABLE 38 | WATER/SEWERAGE COMPANIES’ QUALITY ENHANCEMENT CAPITAL INVESTMENT LEVELS 2005-2010 (£M) |
88 |
| TABLE 39 | UK ENERGY CONSUMPTION IN 2003 BY SECTOR |
92 |
| CHART 40 | CAPITAL EXPENDITURE SHARES (POWER COMPANIES) 2002/2003 |
95 |
| TABLE 41 | TOP TELECOMMUNICATIONS COMPANIES BY CAPITAL EXPENDITURE – 2002/03 (£M) |
102 |
| TABLE 42 | CONSTRUCTION NEW WORK OUTPUT BY SECTOR 1993-2003 (£ BILLION) AT CURRENT PRICES |
103 |
| TABLE 43 | CONTRACTORS’ OUTPUT OF EDUCATION SECTOR NEW WORK 1996-2003 (£M) |
105 |
| TABLE 44 | CONTRACTORS’ OUTPUT OF HEALTH SECTOR WORK (PUBLIC/PRIVATE) 1997-2003 (£M) |
106 |
| TABLE 45 | VALUE OF NEW CONTRACTORS ORDERS– PRIVATE OFFICES 2000 - 2003 (£M) |
108 |