The scaffolding industry has hit a significant milestone, with the UK’s top 10 companies surpassing £1 billion in combined turnover for the first time.
The CN Specialists Index for 2024 reveals that the sector’s revenue climbed 18% to an impressive £1.13 billion, up from £957.9 million last year.
It’s not just revenue that’s up—profitability has improved too, with all 10 companies recording a profit. The median pre-tax margin rose 7.6%, compared with 5% in 2023.
But while growth dominated the headlines, the rankings saw significant changes at the top and bottom.
Altrad UK Tops the List
Leading the way is Altrad UK, which surged to the number one spot after generating £352.1 million in revenue, up 46% from the previous year.
This growth was driven by strategic acquisitions, including Sparrows and Endel, strengthening the company’s client relationships and boosting its market presence.
However, Altrad’s pre-tax margin slipped slightly, dropping from 8.4% to 8%. John Walsh, CEO for Altrad UK, Ireland, and Nordics, highlighted the sector’s biggest challenge: finding skilled workers. “The main limitation for future growth is finding the right quality and quantity of people,” he said.
Big Changes in the Top 10
Last year’s leader, Kaefer, moved to second place despite growing its revenue by 23% to £317.9 million. The company also saw its pre-tax margin more than double, rising from 1.2% to 2.5%, thanks to improved cost control.
Lyndon SGB held firm in third place, reporting a 9% increase in turnover to £152 million. The company has yet to file its latest accounts, but it remains a key player in the industry.
Meanwhile, TRAD Group, in fourth, experienced mixed fortunes. While its revenue dropped 24% to £73.4 million, the company managed to turn a £500,000 loss into a £2.8 million profit by tightening its cost controls.
Standout Performers
Several firms posted standout results. Alltask, which stayed in sixth place, delivered an exceptional 49% rise in revenue to £44.9 million, with pre-tax profit soaring to £6.5 million. Its 14.4% margin was among the highest in the rankings.
GKR Scaffolding climbed from ninth to eighth, with a 21% increase in turnover to £31.3 million. The Kent-based firm tripled its pre-tax profit to £3.4 million, although it flagged challenges such as higher shipping costs and the ongoing labour shortage.
The only new entrant this year, Palmers Scaffolding, came in at ninth place. The Chester-based company recorded a 43% rise in revenue to £23.8 million, with a solid pre-tax margin of 8.5%.
Not every firm saw growth. PHD Modular Access dropped to tenth place after revenue fell by 23% to £22.9 million. Its pre-tax profit also slipped slightly to £1.5 million, reflecting a tough year for the company.
Challenges and Opportunities
Despite the growth in revenue and profits, the scaffolding sector continues to grapple with challenges. Rising interest rates, tighter budgets, and project delays are putting pressure on contractors.
However, many firms are adapting by streamlining operations and looking for new opportunities.
Speaking to Scaffmag, Clive Dickin, Chief Executive of NASC, said: “NASC recognises the scaffolding industry’s remarkable growth, with the top 10 companies surpassing £1 billion in combined turnover, which is reflective of the entire sector including NASC members who often are micro businesses.
However, the sector’s success is overshadowed by critical challenges in talent acquisition, as highlighted by leading industry figures. Resolving these issues requires collaboration and innovation to attract and retain skilled workers of which NASC is providing solutions and lobbying in HM Government for reform.
At the same time, the UK government’s approach to National Insurance taxation remains a disincentive to business growth, further complicating the industry’s efforts to secure the workforce needed to sustain this momentum.”
Top 10 Scaffolding Contractors 2024
- Altrad UK – £352.1m (+46%)
- Kaefer – £317.9m (+23%)
- Lyndon SGB – £152m (+9%)
- TRAD Group – £73.4m (-24%)
- Enigma Industrial – £68.2m (+9%)
- Alltask – £44.9m (+49%)
- Brogan Group – £43.2m (+7%)
- GKR Scaffolding – £31.3m (+21%)
- Palmers Scaffolding – £23.8m (+43%)
- PHD Modular Access – £22.9m (-23%)
