Competition in Jersey's construction sector to be reviewed

Friday, 23 August 2024 08:00

The competition watchdog has announced a review of Jersey's construction sector to see if it is serving islanders as well as it could.

The probe starts next month and will look at whether the sector is working in consumers' best interests.

Construction makes up 8% of the economy, and employs 10% of the island's workforce.

In recent times, a number of large and established building firms have collapsed.

Those companies cited rising costs as the primary reason for closing.

Read: Three Jersey construction companies announce they are ceasing trading.

The Jersey Competition and Regulatory Authority's review will analyse information to understand how the sector works and whether there are any competition issues.

It won't look at the actions of any specific business or firm.

Tim Ringsdore, Chief Executive Officer at the Authority, said “This review is being launched in the context of both significant upcoming construction projects, and recent changes in the market structure.

"Given the significance of construction to the economy it is important we know whether there are any competition issues to consider, and whether the market is working in the interests of Jersey’s consumers."

Those investigating will use case studies, hold engagement sessions, request information and conduct their own research.

Islanders and businesses will also be invited to give feedback on the draft report.

The finding are expected to be published by the end of 2025.