Insight: What does a new Prime Minister mean for construction?

How seemingly small changes during construction can have a major impact on cost, programme and project success.

Posted: 6 Aug 2026

 

What Does a New Prime Minister Mean for Construction? 

A new Prime Minister always brings renewed optimism, fresh priorities and ambitious promises. For the construction industry, however, the real question is not who occupies Number 10, but whether government policy creates an environment where projects can be delivered with greater confidence. 

Andy Burnham’s appointment has been accompanied by a clear emphasis on economic growth, regional investment, planning reform and increasing the pace of development. His first weeks in office have already highlighted commitments to supporting businesses, accelerating housebuilding and devolving greater powers to regional authorities. This is addressed in several ways including: 

  • Strategic Authorities: coordinating investment and planning and has strengthened Strategic Authorities (such as the Greater Manchester Combined Authority) by giving mayors greater responsibility 
  • Spatial Development Strategy (SDS) is a statutory strategic planning document that identifies where growth should occur over the coming years 
  • Community Empowerment Act which is intended to strengthen community involvement in local decision-making 

These are encouraging signals for the built environment, but as Quantity Surveyors, we know that policy announcements rarely translate into immediate changes on site. The true impact will depend on how quickly these ambitions become practical reforms. 

 

Planning certainty remains the biggest opportunity 

For many projects, planning delays continue to be one of the largest contributors to increased costs. 

Every month spent waiting for approvals can lead to higher financing costs, contractor remobilisation, inflationary pressure and programme disruption. Even when construction costs themselves remain relatively stable, delays can significantly affect overall project viability. 

If the new Government succeeds in streamlining planning processes and creating greater certainty for developers, this could prove to be one of the most significant benefits for the industry. Faster, more predictable planning decisions would allow projects to move forward with greater confidence and reduce unnecessary expenditure before construction has even begun. 

 

Growth brings opportunity, but also competition 

The Government has also placed considerable emphasis on regional growth and devolving investment beyond London, building on Andy Burnham’s experience as Mayor of Greater Manchester. 

The UK S&P Global Construction PMI for June 2026 is 38.4 and while this has improved slightly from May’s six-year low of 38.2, the UK construction sector remains in a significant downturn.   

Greater investment across the UK is undoubtedly positive for the construction sector, but increased demand also creates new challenges. 

As workloads increase, competition for experienced contractors, consultants and specialist trades is likely to intensify. We have seen this pattern before. Healthy pipelines can strengthen the market, but they can also reduce tender competition, extend procurement periods and place upward pressure on labour costs. 

For clients, this reinforces the importance of engaging with the market early, rather than waiting until planning approval to begin procurement. 

 

The role of the Quantity Surveyor is evolving 

Political change often creates headlines around funding, planning and infrastructure. Behind each of these sits a common theme: uncertainty. 

This is where the role of the Quantity Surveyor has evolved significantly. 

Our role is no longer simply measuring quantities or reporting costs. Increasingly, clients are seeking strategic advice much earlier in the lifecycle of a project. They want to understand financial viability before committing to land acquisitions, planning applications or detailed design. 

Early cost planning, procurement advice and risk management are becoming just as valuable as traditional cost control during construction. 

 

Confidence will depend on delivery 

Every incoming government begins with ambition, but confidence is built through delivery. 

If planning reform is implemented effectively, investment reaches projects quickly and the industry is given greater certainty, the construction sector could benefit from a more stable environment over the coming years. 

However, clients should remain realistic. Labour shortages, supply chain pressures and project complexity are challenges that cannot be solved overnight. 

From a Quantity Surveyor’s perspective, the fundamentals remain unchanged. Successful projects will continue to be those where risks are identified early, budgets are realistic, procurement is carefully planned and experienced advisers are involved from the outset. 

Political priorities may change, but the principles of delivering successful projects do not. 

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