While over capacity in the industry creates its own issues for contractors, another issue facing contractors is that developers may have paid too much for property sites at the height of the boom, and will now struggle to earn a profit on developing the site, and the developers’ only option may be to squeeze the contractor as much as possible.
Given the issues facing contractors in the sector, it is more important that they fully understand the terms of the contracts that they have entered into, and exploit them to the full.