European Consultancy Engineering Markets recover from crisis

The latest Industry Barometer from the European Federation of Engineering Consultancy Associations (EFCA) shows that the recovery, expected in the spring, has materialised: overall, staff number increased markedly as well as order stock, turnover and profitability. The currently largest challenge for the consultancy and engineering industry in Europe is the shortage of staff.

Henrik, Garver, CEO of the Danish Association of Consulting Engineers and Chair of EFCA’s Industry Barometer task force commented the release of the latest EFCA Industry Barometer, which shows biannual trends and expectations amongst European consulting engineers.

“Although COVID-19 is still challenging the business environment, and European society at large, the impact on the consultancy and engineering industry in Europe has been reduced significantly, compared to the situation 6, 12 and 18 months ago.” says Mr Garver.

The underlying indicators continue to provide reasons for growing optimism. Employment has increased significantly with 105.8 index points since spring 2021. Turnover per employee, as an average for the markets covered by this version of the EFCA Barometer is at €154,301, which shows, that significant value and revenue is still being created by the European consultancy and engineering industry.

Mr Garver added “Staff shortage is the most salient concern. Low fees and digitalisation have gained in importance. Profitability for 2020 was an average of 7,1 percent, compared to 5.4 percent in 2019.

Although all indicators now appear to be back at pre-crisis levels, there is some uncertainty about a sustained recovery because of the recent surge in COVID-19 cases across Europe. Whilst measures are still needed to address the consequences of the coronavirus crisis, EFCA is strongly advocating increased and targeted investments in decarbonising the economy and built environment. The engineering consulting industry has a major role in delivering on Europe’s ambitious climate change targets.”

  • 17 November 2021