UK, September 2026 - UK construction firms are facing a challenging trading environment in 2026, with uncertainty around demand and construction costs making accurate forecasting increasingly important. Allenby Accountants, a firm of construction accountants based in Uxbridge, London, is calling on contractors, subcontractors and developers to rebuild their forecasting process from the ground up rather than patch it project by project.

According to Allenby Accountants, the problem rarely starts on site - it starts with how the numbers are built in the first place. When project data is updated only weekly or monthly, contractors may be making decisions using information that is already out of date. Variations agreed verbally and documented two or three weeks later can slip through unnoticed. VAT and Construction Industry Scheme (CIS) implications are considered as an afterthought rather than built into the financial forecast from day one. Each gap is small on its own; together, across a full programme, they can contribute to a well-priced job turning into a loss-making one.

Working exclusively with building and property clients, Allenby Accountants sets out four habits it asks every contractor client to adopt:

•Track costs in real time, not in arrears - job costs mapped against budget as invoices and timesheets land, not reconciled at month end.
•Build cash flow forecasts around the actual payment cycle - retentions, payment certificates and the gap between paying for materials and getting paid for the work.
•Check material and subcontractor costs against live market rates, not last year's price list, particularly for steel, timber and other volatile inputs.
•Plan VAT and CIS treatment into the forecast at tender stage, not correct it after the invoice has already gone out.

“Every contractor we work with can price a job. Very few can tell you, mid-project, whether that price is still holding,” said Gupta of Allenby Accountants. “Forecasting isn’t a finance exercise bolted onto construction - it has to run alongside the build, updated as often as the site changes.”

With construction forecasts varying significantly across sectors and industry bodies, and continued uncertainty around construction costs and demand, Allenby Accountants says contractors can benefit from treating forecasting as an ongoing discipline rather than a one-off exercise at the start of a project.

About Allenby Accountants

A London-based accounting firm, Allenby Accountants, offers specialised services to businesses in an array of industries, including restaurants, SMEs, and contractors. With a concentration on client-first methods and technology-driven solutions, Allenby Accountants helps businesses in achieving long-term growth, efficiency, and compliance.

Company Address:

Address: Brook House 54a, Cowley Mill Road Uxbridge UB8 2FX
Phone No: 0208 914 8887
E-mail: [email protected]
Website: https://www.allenbyaccountants.co.uk/