The TCI shares index, compiled for us exclusively by the London Stock Exchange Group (LSEG), hit a four-year high in February 2020 but crashed by 40% a month later as the first of a wave of lockdowns was introduced.
The index gradually recovered and between February 2021 and January 2022 it never dipped below the 100-point mark.
However the resounding impact of Brexit pushed up materials prices and the cost of living. Both of these factors subsequently weighed heavily on construction industry share prices.
Many larger contractors defied doom-mongers with work across a breadth of sectors that supported their operations but the failure of one of the few remaining smaller listed contractors, NMCN, did little for the City’s appetite in low profit-margin contracting.
In March this year, the wider economic impact created by Russia’s invasion of Ukraine pushed the index to its lowest point since the outbreak of Covid-19 in 2020.
The index has recovered and by this summer was 3.7% ahead of the same point a year earlier, though still 11% down on its four-year high as fears over materials prices and labour rates weigh on the City’s sentiments towards shares in contractors.