Global turmoil returns to test construction’s resilience

By Chloë McCulloch2026-03-11T07:00:00

With oil prices spiking, materials costs rising and staff caught in the fallout overseas, the sector faces a familiar test: navigating global upheaval while trying to maintain progress at home

It’s happening again. Just as we think the economy is about to take off, war breaks out. Almost exactly four years ago we were writing about Russia’s invasion of Ukraine and the impact on energy prices and inflationary pressures on business.

A sense of déjà vu is unavoidable, as any fragile economic optimism that existed at the start of this year risks being crushed beneath the weight of the conflict between Iran and US-Israeli forces.

For the first time in four years the price of oil per barrel topped $100, at the start of the week, driven by attacks on Iranian infrastructure, a near‑shutdown of shipping through the Strait of Hormuz, and an escalation of attacks over the weekend. Higher oil prices along with Consumer Price Index inflation reopens the debate on whether interest‑rate cuts can be delivered at all this spring.

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