The sign-off date is set, the budget is agreed, and everyone is smiling on day one. Fast-forward a few months, and the site is still a hive of activity, the completion date is a memory, and the extra costs are starting to add up.

Overruns have been part of UK construction for as long as anyone can remember, affecting jobs from small refurbishments to major developments. Even with modern project management tools and tighter procurement controls, the finish line often shifts further away rather than closer.

One common cause is the chain reaction from a single delay. If a delivery is late, the next trades cannot start, and if a specialist team is missed or double-booked, weeks can vanish before they are available again. These interruptions may be predictable, yet they often arrive without warning.

In a competitive market, programmes can be set to look achievable on paper, leaving no room for contingency. When the unexpected happens, that slim margin disappears. Attempts to catch up can lead to rushed work and redoing tasks, pushing the timeline out even further.

Clients feel the cost in more than pounds and pence. Delays can disrupt move-in dates, stall openings, and create reputational issues for all involved. Relationships between contractors, consultants, and clients may suffer, making future collaboration less likely.

Subcontractors under the main contract often feel the sharpest impact. Delays can leave them with income gaps as planned work is postponed, forcing them to juggle other commitments and risk losing new opportunities. For smaller firms, the financial strain can be severe, especially when payment milestones are tied to work stages that are now pushed back.

Lenders, particularly those offering bridge finance, can also be exposed. Bridging loans are short-term by design, so each week of delay increases interest costs for the borrower and the lender’s risk if the exit strategy relies on a quick sale or refinance. In some cases, lenders may demand additional guarantees or funding to see the project completed.

The Ministry of Housing, Communities and Local Government (MHCLG) has made construction efficiency a talking point again, with an agenda aimed at improving coordination, cutting red tape, and encouraging better forward planning. Whether this will lead to fewer overruns remains to be seen.
However, given the mixed results of previous MHCLG initiatives, expectations should be measured. While the intent is welcome, many causes of overruns lie outside the department’s control.

Past efforts have been slowed by underfunding, shifting political priorities, and the realities of planning backlogs, skills shortages, and fragile supply chains. Any real gains are likely to come from small, practical improvements rather than sweeping reform.

Some causes are structural. Global supply chains remain fragile after the lock-down period, with some materials still on long lead times. Skilled trades are in short supply, and competition for their time creates bottlenecks. Planning approvals and inspections, vital for compliance, can also create delays if local authority workloads spike.

None of this is new to those in construction. Many have tried solutions from early procurement to overlapping phases of work. Some have helped, others have just moved the problem to a different stage.

It is in this context that Construction Matters returns with a timely discussion. On Tuesday at 1pm, Gareth Wax will be joined by Hamish McLay, returning guest Michelle Carr the Construction Alchemist – bringing clarity, innovation, and transformation to the construction industry and Dave Symondson, who brings extensive hands-on experience.

The panel will explore why overruns persist despite decades of learning, the different types of cost to clients, and the knock-on effects for subcontractors and lenders. They will also consider what the new MHCLG agenda might mean in practice. Expect a frank look at the pressures on all sides and thoughts on what really works to deliver on time without sacrificing quality.

Whether you are a developer, contractor, or simply curious about the realities behind the hoardings, this one is worth your time. As always, Spilling The Proper-Tea aims to share insight from those who have been there, seen it, and still believe there is a better way forward.

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